US to Impose Additional Tariffs on China | Threat of ‘No-Deal’ Brexit Looms
Published August 8, 2018
The US has stated it will begin imposing 25% tariffs on an additional $16 billion of Chinese goods from Aug 23. The list of casualties includes motorcycles, steam turbines and railway cars. There is little sign yet of the trade war taking a toll on China, with data showing that their exports rose faster than expected in July.
The Canadian dollar has continued to weaken against the greenback this morning, with the currency pulling back from a nearly eight-week high as the diplomatic dispute worsened between Canada and Saudi Arabia. The Saudi government has stated that it would no longer buy Canadian wheat and barley.
NAFTA negotiators from the US and Mexico meet for a third straight week in a push to complete a deal on autos. They’re also preparing for the inevitable confrontation over a clause sought by the Trump Administration that could end the agreement, specifically the accord on content and salaries for auto manufacturing.
The pound continues to struggle against USD, trading at 1.2936 at the time of writing. Analysts argue that a ‘no-deal’ Brexit could trigger a further 10% depreciation in the value of the British pound. The bearish forecasts are based on negative comments from the secretary for international trade.