Good Morning. Welcome to The Wire’s daily news roundup. Each day, our staff gathers the top China business, finance, and economics headlines from a selection of the world’s leading news organizations.
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The Wall Street Journal
- China Bets Trump Will Back Down on Tariffs — President Trump’s apparent softening on tariffs has strengthened Chinese officials’ resolve that he will eventually cave if they wait him out.
- Xi Is Ratcheting Up China’s Pain Threshold for a Long Fight With Trump — President Trump is facing an adversary who has armed his country to play a long and potentially painful game in its contest with the U.S..
- White House Considers Slashing China Tariffs to De-Escalate Trade War — Levies could be cut by more than half in some cases although President Trump hasn’t yet made a final decision.
- Boeing Will Stop Making Jets for China if Airlines Won’t Accept Planes, CEO Says — The U.S.-China trade war overshadows Boeing’s better-than-expected financial results.
The Financial Times
- China tells US to ‘cancel all unilateral tariffs’ if it wants talks — Beijing says claims it is nearing a deal with Washington to resolve the trade war are ‘fake news’.
- How critical minerals became a flash point in US-China trade war — Beijing’s response to Donald Trump’s tariffs intensifies battle to control supply of commodities vital to high-tech sectors.
- Pony.ai considers other exchanges as US delisting fears grow — Less than six months after New York IPO, CEO says secondary offering in Hong Kong is ‘possible’.
- Carmakers play down advanced driving functions after Beijing crackdown — Fatal Xiaomi EV crash led to regulator stepping in ahead of splashy launches at Shanghai show.
- Trump tariffs choke vital medical device supply chain — Industry warns that trade disruption will raise prices for hospitals.
- Chinese factories slow production and send workers home as US tariffs bite — Owners say American customers have cancelled or suspended orders.
- China to lift sanctions on MEPs in bid to revive trade deal with EU — Beijing steps up efforts to woo Brussels as 145% tariffs imposed by the US seal off its biggest market.
- Bessent warns mutual de-escalation required in US-China trade war — Treasury secretary denies reports Washington will make unilateral cuts to tariffs.
- Boeing prepared to redirect orders destined for Chinese carriers — CEO warns US aerospace group is ‘not going to continue to build aeroplanes for customers who are not going to take them’.
- Opinion: Trump discovers the US is no longer indispensable — America cannot offer enough aid, green technology or new market access to mould the world trading system. By Alan Beattie.
- Opinion: Ejecting China Inc from US exchanges would be an own goal — Forced delisting of Chinese companies would be bruising experience for US investors. By Lex.
The New York Times
- Markets Fade as China Calls Reports of U.S. Tariff Talks ‘Baseless’ — Stocks pulled back from recent gains fueled by comments from President Trump and others suggesting that they might ease steep tariffs.
- For China’s Trolls, ‘Chairman Trump’ and ‘Eyeliner Man’ Are Easy Targets — Online mockery of President Trump is fodder for the Communist Party’s propagandists. For liberal-minded Chinese, it is a creative expression of shock at his policies.
- On TikTok, Chinese Manufacturers Open a New Line in the Trade War — Videos on the social media app, filmed at factories in China, urge viewers to buy luxury goods directly, as tariffs drive up prices. Americans are receptive.
- Trump’s Tariffs Bump Into Reality as Economic Strategy Wavers — President Trump has said his punishing tariffs would force companies to build factories in the United States. But it is far from clear that they will have the effects he predicted.
- Scott Bessent Accuses IMF and World Bank of ‘Mission Creep’ — Treasury Secretary Scott Bessent argued in a speech that the multilateral economic institutions have veered away from their missions.
- Boeing Reports Smaller Loss but Trade War Threats Loom — The plane maker, which has been trying to recover from a quality crisis, could lose orders in China as a result of President Trump’s tariffs.
Caixin
- Trade War Is a Trade Opportunity for Brazil, São Paulo Mayor Says — On his visit to sister city Shanghai, Ricardo Nunes cited cooperation in electric vehicles, surveillance.
- Despite Slowdown in U.S. Orders, Global Buyers Flock to China’s Biggest Trade Fair — While the Canton Fair is welcoming fewer American buyers, those from emerging markets see opportunity in Trump’s tariff chaos.
- Xi’s Southeast Asia Tour Underscores Regional Trade Ties — The president’s state visits to Vietnam, Malaysia and Cambodia highlight the importance China attaches to trade with ASEAN countries.
- Temu, Shein Raise Prices for U.S. Shoppers With Trump’s Tariff Hikes Imminent — China’s e-commerce platforms raise prices in U.S. as Trump brings duty-free exemption for small parcels to an end.
- General Motors’ China Venture Feels the Pinch as Tariff War Bites — SAIC-GM shareholders consider countermeasures as Trump’s tariffs threaten to make exports to U.S. unsustainable.
South China Morning Post
- Why China’s robot makers are unfazed by US tariffs: ‘we’re the only supplier’ — Many firms say they feel little pressure to lower prices, as there are few viable alternatives to their products.
- China’s ‘involution’ trap is hurting nation’s competitiveness, state media warns — Economic Daily commentary says ‘neijuan’ – a self-defeating cycle of too much competition – is still prevalent and poses a threat to sustainable growth.
- China’s UN envoy undiplomatically condemns US by name — Ambassador Fu Cong’s remarks at informal Security Council session are part of Beijing strategy to build support against Trump and tariffs.
- China backs Iran holding nuclear talks with ‘bullying’ US, says top diplomat Wang Yi — Foreign ministers meet in Beijing and decry America’s ‘abuse of tariffs’ ahead of negotiations this week between Washington and Tehran.
- Opinion: In AI race against US, China is racking up real-world wins — The US may hold the lead in cutting-edge AI tech but China is racking up economic wins with real-world adoption. By George Chen.
Nikkei Asia
- Chinese EV makers pivot to safety after ban on ‘exaggerated’ ads — ‘Intelligent assisted driving’ becomes mantra at auto show amid regulatory scrutiny.
- Trump’s non-tariff gambit sends shivers through China — Chinese Communist Party fears acquiescing to US demand poses risks.
- Vietnam, South Korea crack down on Chinese goods skirting U.S. tariffs — Both Asian countries maneuver amid trade negotiations with Washington.
- Nissan plans $1.4bn in fresh China investment, focusing on EVs and hybrids — Japan automaker shows off plug-in hybrid pickup to compete with rivals like BYD.
- Opinion: The age of doves and hawks is over. It’s time for the owls — The US must pivot to a wise, pragmatic China strategy in the era of Trump 2.0. By Mitch Presnick.
Bloomberg
- Japan to Resist Trump Efforts to Form Trade Bloc Against China — Japan intends to push back against any US effort to bring it into an economic bloc aligned against China because of the importance of Tokyo’s trade ties with Beijing, according to current and former Japanese government officials.
- Chinese Exporters Retreat From US as Tariffs Erode Profitability — Americans could face rising prices, shortages in coming months.
- China’s Lunar Chief Knocks US on Shifting Space Priorities — A top Chinese space official criticized the prospect of shifting US space priorities, contrasting Beijing’s steady progress toward lunar exploration with uncertainties in Washington about President Donald Trump’s plans for the moon.
- Trump Targets Chinese Cranes, Risking Added Burden for US Ports — Chinese cranes that load and unload containers from ships are the latest target of the Trump administration’s attempt to boost domestic manufacturing, even as no US industry for the equipment exists.
- Opinion: Tariffs Won’t Bring US Allies On Board Against China — There are smarter ways to address the national-security risks posed by the mainland’s trade practices. By The Editorial Board.
Reuters
- China’s Leapmotor to supply EV platform to Hongqi, also in talks with Ferrari — Chinese automakers and suppliers have been pushing such technology licensing deals for EV platforms or “skateboards” to reduce the costs and speed up development for companies looking to slash the threshold to profitability on a new EV model.
- Tariff-hit China exporters reluctant to heed government calls to sell locally — Beijing has made increasingly louder calls on exporters to find local buyers as an alternative to the U.S. market, now frozen after Washington hiked tariffs on Chinese goods by 145%, but firms are concerned about complications in making the switch.
- US-China fentanyl talks hang by thread amid trade war — The two sides are exchanging intelligence about traffickers and communicate frequently. But Beijing’s proposals to help resolve the crisis thus far are inadequate, sources said.
Other Publications
- The Washington Post: U.S. races to head off economic shock from China trade war restriction — Beijing’s curbs on rare earth exports, used to make military drones, consumer electronics, electric cars and more, have caused alarm across federal agencies.
- AP: From banning tech to ending sister-city ties, US states have at least 240 anti-China proposals — After years celebrating trade ties with China, states don’t want police to buy Chinese drones, government agencies to use Chinese apps, software or parts, or public pension systems to invest in Chinese companies.
- The Economist: Will China’s shoppers cushion the Trumpian blow? — Perhaps. But nastier outcomes are also imaginable.
- BBC: Five cards China holds in a trade war with the US — Chinese President Xi Jinping’s government has repeatedly said it is open to dialogue, but warned that, if necessary, it would “fight to the end”.
