Thursday, June 6, 2019

Highlights of This Month's Edition:

• Bilateral trade: In April 2019, U.S. goods exports to China fall, while imports are up, pushing the U.S. goods deficit to $26.9 billion, from $20.7 billion in March.


• Bilateral policy issues: An impasse in trade negotiations in early May preceded a volley of policy actions from the United States, including a tariff hike and an additional proposed list of tariffs affecting the remainder of U.S. imports from China. China responded to U.S. actions by threatening rare earths export blockades, stringent cybersecurity reviews, and regulatory retaliation.


• In focus – Chinese financial markets: Beijing’s efforts to liberalize financial markets remain stalled, but there have been signs of progress over the last year, increasing foreign access to China’s financial sector.