27 h. ago Canada’s Liberal party says budget of ‘sacrifice’ needed to avoid recession

Country set to unveil PM Mark Carney’s spending plan as it battles trade war with US and protracted cost of living crisisCanada’s ruling Liberal party has said a budget of “sacrifice” is required to confront both a trade war with the US and a protracted cost of living crisis that threatens to push the country into a recession. But with opposition parties signalling they won’t support the fiscal plans of the prime minister, Mark Carney, a failed parliamentary vote on the budget could plunge the country into another federal election in the coming weeks.The country’s finance minister, François-Philippe Champagne, will on Tuesday unveil a spending plan his government has signalled will include both steep deficits and spending cuts. Few details have leaked ahead of the announcement, which will mark the first substantive look at how Carney plans to avoid a recession while locked in a trade war with the US, Canada’s biggest economic partner. Continue reading...

Economics

4 d. ago Nexperia halts chip supplies to China in threat to global car production

Dutch-controlled company informs customers about suspension but is said to want to de-escalate trade warNexperia, the EU-based automotive chipmaker at the centre of a geopolitical dispute, has suspended supplies to its Chinese factory, stepping up a trade war that threatens to halt production at carmakers around the world.The company wrote to customers this week informing them all supplies to a Chinese plant had been suspended. Continue reading...

Events

5 d. ago The Guardian view on Trump and China: stepping back from the brink, but not solving problems | Editorial

Though the US president’s meeting with Xi Jinping appears to have staved off a global trade war, this is far from a win for WashingtonThe diverging verdicts offered by the Chinese and American leaders after their talks in South Korea on Thursday reflected more than the chasms between their personal styles and political cultures. Donald Trump gushed about an “amazing” meeting, scoring it 12 out of 10; Xi Jinping reportedly noted that a consensus had been reached, with the two sides needing to finalise follow-up steps rapidly.Mr Trump’s usual trade approach – shout loudly and wave a big stick – faltered when Beijing raised its own bludgeon. No tribute of gold crowns or Nobel nomination pledges were on offer from Mr Xi. The US president blinked first – but, predictably, attempted to repackage the underwhelming result as a great success. Continue reading...

Politics

5 d. ago Donald Trump eases China tariffs as nations agree trade war truce

The meeting on Thursday looked like an attempt to reset the U.S.-China narrative

Politics

5 d. ago Donald Trump says rare earths dispute ‘settled’ after Xi Jinping meeting in South Korea – live updates

Summit on sidelines of Apec was the first between the leaders of US and China since 2019, and comes after tensions have been strained by Trump’s trade warIn the days leading up to the Trump-Xi meeting, American officials signalled that the US president did not intend to make good on a recent threat to impose an additional 100% import tax on Chinese goods.Also that China had shown signs it is willing to relax its export controls on rare earths as well as revive buying soybeans from the US.The relationship with China is very good.Because of the tremendous destructive power, I HATED to do it, but had no choice! Russia is second, and China is a distant third, but will be even within 5 years.Because of other countries testing programs, I have instructed the Department of War to start testing our Nuclear Weapons on an equal basis. That process will begin immediately. Continue reading...

Politics

5 d. ago Donald Trump speaks after Xi Jinping meeting in South Korea – live updates

Summit on sidelines of Apec was the first between the leaders of US and China since 2019, and comes after tensions have been strained by Trump’s trade war In the days leading up to the Trump-Xi meeting, American officials signalled that the US president did not intend to make good on a recent threat to impose an additional 100% import tax on Chinese goods.Also that China had shown signs it is willing to relax its export controls on rare earths as well as revive buying soybeans from the US.The relationship with China is very good.Because of the tremendous destructive power, I HATED to do it, but had no choice! Russia is second, and China is a distant third, but will be even within 5 years.Because of other countries testing programs, I have instructed the Department of War to start testing our Nuclear Weapons on an equal basis. That process will begin immediately. Continue reading...

Politics

5 d. ago Donald Trump and Xi Jinping hold meeting in South Korea amid hopes for trade deal – live updates

Summit on sidelines of Apec is the first between the leaders of US and China since 2019, and comes after tensions have been strained by Trump’s trade warIn the days leading up to the Trump-Xi meeting, American officials signalled that the US president did not intend to make good on a recent threat to impose an additional 100% import tax on Chinese goods.Also that China had shown signs it is willing to relax its export controls on rare earths as well as revive buying soybeans from the US.The relationship with China is very good.Because of the tremendous destructive power, I HATED to do it, but had no choice! Russia is second, and China is a distant third, but will be even within 5 years.Because of other countries testing programs, I have instructed the Department of War to start testing our Nuclear Weapons on an equal basis. That process will begin immediately. Continue reading...

Politics

6 d. ago Trump live: Major airport forced to ground planes as federal shutdown causes huge staff shortage

Shutdown-linked travel disruption comes as Trump prepares to meet Chinese counterpart Xi Jinping in South Korea for key talks to try and defuse trade war

Politics

6 d. ago Trump and Xi talks could end months of global economic chaos

High on agenda for the leaders of the US and China will be rare earths and tariffs, with a chance of a relationship resetAhead of Thursday’s long-awaited first meeting between Donald Trump and Xi Jinping since the US president’s return to office, officials from both sides have been hammering out the contours of what a trade deal between Washington and Beijing might look like, an agreement that could bring an end to months of global economic chaos caused by the US-China trade war.The two leaders have not met in person since 2019. Since then, the war in Ukraine and increasing concern in Washington about China’s technological advances, as well as longstanding issues about the imbalanced US-China trade relationship, have strained the bonds between the two superpowers. Continue reading...

Politics

7 d. ago From rare earths to Russian oil, here’s what Trump hopes to get out of meeting Xi Jinping

Experts do not expect US and China to resolve all their issues before the two presidents meet, but they are hoping for enough progress to stop the rivalry from doing more global economic damage. Alisha Rahaman Sarkar reports

Politics

1 week ago Trump declares trade war with Canada after 'fake' advert put out warning against him

US President Donald Trump hit out following an advert in Canada, which featured the voice of Ronald Reagan, warned Americans that tariffs could kill their jobs.

Events

1 week ago Trump embarks on 'riskiest' foreign trip of his presidency to China as trade war threatens to explode

Donald Trump is jetting off for a trip through Asia on Friday just hours after reigniting a tariff fight with Canada and days after placing new sanctions against Russia.

Events

1 week ago UK manufacturers hit by largest drop in orders since 2020; FTSE 100 hits record high – business live

Shares in oil companies jump after US sanctions Russian energy firms, while manufacturers see weak prospects aheadYesterday’s weaker-than-expected UK inflation report has sparked chat that the Bank of England could cut interest rates sooner than expected.Deutsche Bank say there is now an “interesting debate” on whether there may be enough ammunition for the Bank’s monetary policy committee to cut borrowing costs as soon as its next meeting in early November.What’s the case for November? Relative to the Bank’s projections, growth has surprised to the downside, private sector AWE growth has surprised to the downside, unemployment has risen in line with Bank expectations, and inflation now sits a healthy amount below the Bank’s projections. Indeed, one could make the argument that the ingredients for a November rate cut are there.So, why not November? We think three things will be important for the MPC to see before dialling down restrictive policy again. One, the MPC may want to see s...

Economics

1 week ago UK manufacturers hit by largest drop in orders since 2020; FTSE 100 hits fresh record high – business live

Shares in oil companies jump after US sanctions Russian energy firms, while manufacturers see weak prospects aheadYesterday’s weaker-than-expected UK inflation report has sparked chat that the Bank of England could cut interest rates sooner than expected.Deutsche Bank say there is now an “interesting debate” on whether there may be enough ammunition for the Bank’s monetary policy committee to cut borrowing costs as soon as its next meeting in early November.What’s the case for November? Relative to the Bank’s projections, growth has surprised to the downside, private sector AWE growth has surprised to the downside, unemployment has risen in line with Bank expectations, and inflation now sits a healthy amount below the Bank’s projections. Indeed, one could make the argument that the ingredients for a November rate cut are there.So, why not November? We think three things will be important for the MPC to see before dialling down restrictive policy again. One, the MPC may want to see s...

Economics

1 week ago Once the AI bubble pops, we’ll all suffer. Could that be better than letting it grow unabated?

The world will be pushed into a recession, but perhaps we can build something more promising from the piecesThe world economy hinges on the success or failure of artificial intelligence. It’s becoming apparent that we are probably doomed either way.Employment growth is stuck and wage growth is slowing, especially among low-paying jobs. Loan delinquencies are rising, driving an increase in bankruptcies. Consumer confidence has collapsed. And reckless policymaking is taking its toll. Donald Trump’s trade war is cutting farmers’ access to the Chinese market and manufacturers’ access to Chinese rare-earth magnets. His clampdown on migration is hitting access to labor, from agriculture to healthcare. The drawn-out government shutdown is starting to sap economic growth. Continue reading...

Politics

1 week ago UK manufacturers hit by largest drop in orders since 2020; Oil price jumps after Rosneft and Lukoil sanctioned – business live

British manufacturers see the weakest prospects for orders since Covid-19 pandemic, CBI reports, after demand weakened in last three monthsYesterday’s weaker-than-expected UK inflation report has sparked chat that the Bank of England could cut interest rates sooner than expected.Deutsche Bank say there is now an “interesting debate” on whether there may be enough ammunition for the Bank’s monetary policy committee to cut borrowing costs as soon as its next meeting in early November.What’s the case for November? Relative to the Bank’s projections, growth has surprised to the downside, private sector AWE growth has surprised to the downside, unemployment has risen in line with Bank expectations, and inflation now sits a healthy amount below the Bank’s projections. Indeed, one could make the argument that the ingredients for a November rate cut are there.So, why not November? We think three things will be important for the MPC to see before dialling down restrictive policy again. One, ...

Economics

1 week ago Oil price jumps after US sanctions Russia’s Rosneft and Lukoil; White House considers software curbs on China – business live

Rolling coverage of the latest economic and financial newsThe oil price has jumped after the US has sanctioned Russia’s two largest oil companies to increase pressure on the Kremlin to negotiate an end to its war against Ukraine.The White House’s new measures against Rosneft and Lukoil are the US’s first sanctions against Russia since Trump’s return to office in January. All assets belonging to the two companies in the US have been frozen, and US companies and individuals will be barred from doing business with them. Continue reading...

Events

2 w. ago Wall Street inches higher in premarket as worries over the U.S.

Wall Street pointed toward gains before the open Monday, overcoming worries over bank lending and the trade war with China

Politics

2 w. ago To hit back at the United States in their trade war, China borrows from the US playbook

China has expanded its export rules on rare earths, requiring foreign firms to get approval for exporting products containing even small amounts of China-originated materials

Events

2 w. ago UK risks trade war with China if London 'super embassy' is not approved

UK risks trade war with China if London 'super embassy' is not approved  The i Paper

Events