GJ Town India

Trade war may last for two decades! Alibaba Executive Chairman Jack Ma told businesses that the country’s trade war with Washington will not be over anytime soon, and that they must be prepared, media reports. Speaking at an Alibaba investor day meeting in Hangzhou, Ma said the conflict could last up to 20 years, with the economic fallout being larger than expected. “Short term, business communities in China, US, Europe will all be in trouble,” said Ma. “This thing will last long. If you want a short-term solution, there is not a solution.” “We should not focus on this quarter or next quarter or next year’s profit. This is a huge opportunity,” he added. Hinting at the company’s slowly sliding stock value. “If Alibaba cannot sustain and grow, no company in China can grow. I’m 100% confident in that.” Ma went on to recommend that China look elsewhere for business if the US continues to ramp up the pressure with tariffs. “When problems come, learn how to hide, learn

US trade deficit with China reaches new record high! According to the CER, China’s trade data for August dealt a potential blow to negotiations between Beijing and Washington to avoid a trade war, as the United States’ monthly bilateral trade deficit reached the highest level on record. Data from China’s General Administration of Customs released Saturday showed that $31 billion more goods and services flowed from China to the US last month than in the opposite direction. The gap widened from the $28 billion surplus posted in July. Exports to the US were up 13.2% year-on-year, compared to 11.2% year-on-year in July. China’s imports from the US, meanwhile, grew only 2.3% y/y, down from 11.1% in July. Despite the increase in its bilateral surplus with the US, China’s overall trade surplus shrank in August, with total imports up 20% y/y. Analysts have pointed to a sliding Yuan, front-loading from suppliers ahead of further tariffs and a lack of alternative suppliers