China hits back at Canada with fresh agriculture tariffs

[drkrn86]

Not really. The US actually has the most to lose. If dollar dominance goes down, which will happen because of this, then the US will suffer from hyperinflation and an economic collapse.

Dollar dominance will surely go. But no way they will land up in Hyperinflation

 

[Beijingwalker]

'For our country': China's patriots are buying the dip​

By Samuel Shen and Tom Westbrook
April 22, 202510:02 AM GMT+8

A Chinese national flag flies as people walk on a pedestrian bridge at the Lujiazui financial district in Shanghai, China April 15, 2025. REUTERS/Go Nakamura/File Photo

• Summary

• Chinese retail investors make a patriotic bid for stocks
• 'National team' and private investors in sync to support market
• Investors say goal is to help country, not make money

SHANGHAI/SINGAPORE, April 22 (Reuters) - Cao Mingjie had never traded stocks before Donald Trump's "Liberation Day".
The home designer from China's southern Guangdong province changed his mind after April 2, when the U.S. president announced "reciprocal tariffs", intensifying a trade war with his country.

Keen to show solidarity with Beijing, Cao decided he would invest 2,000 yuan ($274) in the local stock market every month.
"The goal isn't to make money. It's about contributing to my country," said Cao. He said he opened trading accounts after the higher tariffs hit Chinese stocks. In this trade war, "every individual should stand by the country until the end".

Like Cao, many retail investors are joining the state-backed "national team" to defend the stock market - another battlefield in the broadening Sino-U.S. conflict, traders and brokers say. Buying has been focused on sectors set to benefit from China's national agenda, such as defence, consumer and semiconductors.

The patriotic fervour is unusual in small investors, notorious for their casino mentality, and a welcome change for authorities seeking to counter the panic caused by the trade war and stabilise capital markets.‘’

Since the rout on April 4, China's share markets have received 45 billion yuan in net retail inflows, data from financial information provider Datayes shows. That compares with six straight sessions of outflows totalling 91.8 billion yuan ahead of Trump's "Liberation Day".

Previously, private and state investors clashed during the 2015 market crash and in the aftermath of Beijing's crackdown of technology companies, undermining market rescue efforts.

But now, their interests appear aligned as Trump threatens eye-popping import tariffs that China has described as "bullying", even if some retail investors are merely opportunistic and riding on Beijing's swift and resolute intervention.

As China stocks plunged 7% on April 7, state-backed institutional investors publicly vowed to buy more shares, top Chinese brokerages pledged to steady prices, and a slew of listed companies unveiled share buyback plans.

Last week, Chinese Premier Li Qiang urged government officials to strengthen efforts to steady, opens new tab the stock market.
China's stock market (.SSEC), opens new tab has bounced 8% from seven-month lows hit early April, and is down just 1.3% so far this month. That compares with a slump of more than 8% for U.S. stocks.

"We think China's A-share market is of greater strategic importance," said Meng Lei, China equity strategist at UBS Securities. Patriotic bets have "meaningfully improved investor sentiment", Meng said.

'BEING PATRIOTIC MEANS HOLDING ON'​

Zhou Lifeng, from China's northwestern Ningxia region, has vowed to pour more cash into stocks even if he incurs losses.

"Being patriotic means holding on to your stocks," said Zhou, a mountain climber. Zhou said he owns mostly consumer and defence stocks worth 3 million yuan and has 7 million yuan cash in his war chest.

Restaurant operator Shu Hao said he had also invested several hundred million yuan in Chinese shares and that he was inspired by efforts made by domestic retail giants to help exporters bruised by the trade war.

JD.com (9618.HK), opens new tab, Alibaba-owned Freshippo, and supermarket operators CR Vanguard and Yonghui Superstores (601933.SS), opens new tab have announced measures to help exporters pivot to the local market.

"People are expressing patriotism in various ways," said Shu. He said he had bought technology and consumer shares.
The stocks and sectors people are buying into reflects nationalistic pride. They are mostly areas in which Beijing has self-sufficiency targets or have local champions that are being shut out of global markets due to the tariffs.

Reflecting this, consumer (.CSI000990), opens new tab and chipmaking (.CSI931865), opens new tab shares have risen since Trump's "Liberation Day" despite weaker broader markets, while tourism (.CSI930633), opens new tab and agriculture-related shares (.CSI930910), opens new tab have recovered quickly.

Exchange-traded funds, an increasingly popular investment conduit in China, have received piles of money.

Since the April 7 slump, Chinese ETFs have received more than 230 billion yuan of flows, pushing the total size of the segment past 4 trillion yuan for the first time, state media has reported. The data does not show how much of those inflows were from retail investors, versus the "national team".

'WAR ... WITHOUT GUN SMOKE'​

Patriotism is also reshaping the portfolio of some professional investors.
Hedge fund manager Yang Tingwu said he ploughed all the cash left in his portfolio into stocks.

"This is war, only without gun smoke," Yang, portfolio manager at Tongheng Investment said, referring to the spiralling trade conflict between China and the U.S. that has seen tit-for-tat levies surging past 100%.

"You're placing bets not just on your portfolio, but also on the fate of your country," said Yang, who has wagered on farming, energy, finance and defence stocks.
Founder of Shanghai-based Minority Asset Management, Liam Zhou, said he had invested his $1 billion portfolio entirely in China stocks.

The trade war has even turned some Chinese investors nationalistic.

"My portfolio is bleeding, but I don't care. I'll stand firm with the government in the fight against U.S. bullying," said Nancy Lu, a teacher in eastern Jiangsu province. She vowed to never go to Starbucks or wear Nike again, in a boycott of American brands.

"I won't sell a single stock. I'll help defend the market for our country. I have never felt so proud as a retail investor," she added.

 

[Beijingwalker]

China threatens to retaliate against countries that bow to Trump and strike trade deals with US: ‘Compromise will not earn respect’​

By Emily Crane
Published April 21, 2025, 8:14 a.m. ET

China on Monday warned countries not to team up with the US in order to win a reprieve from President Trump’s tariffs — with Beijing vowing it would retaliate against those that do.

The Chinese Ministry of Commerce promised to hit back at any country that chooses to strike economic deals with the US at China’s expense, intensifying its rhetoric in a spiraling trade war between the world’s two biggest economies.

“China firmly opposes any party reaching a deal at the expense of China’s interests,” the Chinese government said in a statement.

Chinese President Xi Jinping in a meeting on April 17, 2025.via REUTERS

“If this happens, China will never accept it and will resolutely take countermeasures in a reciprocal manner. China is determined and capable of safeguarding its own rights and interests.”

China said it was responding to media reports that the Trump administration was planning to pressure nations seeking tariff reductions as a negotiating tactic in a bid to get them to curb trade with China.

“Appeasement cannot bring peace, and compromise cannot win respect,” China warned.

President Trump, here at the White House in February 2025, slapped tariffs on Chinese imports.AFP via Getty Images

“For one’s own temporary selfish interests, sacrificing the interests of others in exchange for so-called exemptions is like seeking the skin from a tiger. It will ultimately only fail on both ends and harm others without benefiting themselves.”

It comes after Trump raised tariffs on Chinese imports to 145%, prompting Beijing to slap retaliatory duties of 125% on US goods.

“The United States has abused tariffs on all trading partners under the banner of so-called ‘equivalence,’ while also forcing all parties to start so-called ‘reciprocal tariffs’ negotiations with them,” the Chinese ministry statement said.

China threatens to retaliate against countries that bow to Trump and strike trade deals with US: ‘Compromise will not earn respect’

China on Monday warned countries not to team up with the US in order to win a reprieve from President Trump’s tariffs — with Beijing vowing it would retaliate against those that do. The…

nypost.com

 

[Beijingwalker]

I m pretty sure that cheerleaders are still going to root for US even after Trump treating their countries like slaves, showing not an ounce of respect.

 

[tower9]

Dollar dominance will surely go. But no way they will land up in Hyperinflation

It will absolutely end with hyperinflation, are you serious? That’s without a single shred of doubt.

 

[tower9]

US citizens are sure to pay the price. But I don't see why US will collapse.
Chinese manufacturers are showing how overpriced the products are by the time they reach USA.
Over time another country will willingly take over Chinese manufacturing role while offering a better deal to USA.

No country has Chinas capacity but even if many Chinese products are replaced, the US will experience hyperinflation and economic collapse simply due to de dollarization and skyrocketing treasury yields.

 

[Menthol]

China threatens to retaliate against countries that bow to Trump and strike trade deals with US: ‘Compromise will not earn respect’​

By Emily Crane
Published April 21, 2025, 8:14 a.m. ET

China on Monday warned countries not to team up with the US in order to win a reprieve from President Trump’s tariffs — with Beijing vowing it would retaliate against those that do.

The Chinese Ministry of Commerce promised to hit back at any country that chooses to strike economic deals with the US at China’s expense, intensifying its rhetoric in a spiraling trade war between the world’s two biggest economies.

“China firmly opposes any party reaching a deal at the expense of China’s interests,” the Chinese government said in a statement.

Chinese President Xi Jinping in a meeting on April 17, 2025.via REUTERS

“If this happens, China will never accept it and will resolutely take countermeasures in a reciprocal manner. China is determined and capable of safeguarding its own rights and interests.”

China said it was responding to media reports that the Trump administration was planning to pressure nations seeking tariff reductions as a negotiating tactic in a bid to get them to curb trade with China.

“Appeasement cannot bring peace, and compromise cannot win respect,” China warned.

President Trump, here at the White House in February 2025, slapped tariffs on Chinese imports.AFP via Getty Images

“For one’s own temporary selfish interests, sacrificing the interests of others in exchange for so-called exemptions is like seeking the skin from a tiger. It will ultimately only fail on both ends and harm others without benefiting themselves.”

It comes after Trump raised tariffs on Chinese imports to 145%, prompting Beijing to slap retaliatory duties of 125% on US goods.

“The United States has abused tariffs on all trading partners under the banner of so-called ‘equivalence,’ while also forcing all parties to start so-called ‘reciprocal tariffs’ negotiations with them,” the Chinese ministry statement said.

China threatens to retaliate against countries that bow to Trump and strike trade deals with US: ‘Compromise will not earn respect’

China on Monday warned countries not to team up with the US in order to win a reprieve from President Trump’s tariffs — with Beijing vowing it would retaliate against those that do. The…

nypost.com

Taking sides between China and the US?

This is very interesting.

If you side with the USA, it will be easier to get USD for international trade and to pay debts. But forget about the trade surplus as in the past. And many more.

Take a side with China... I don't know. What is the advantage of siding with China?

 

[kankan326]

Taking sides between China and the US?

This is very interesting.

If you side with the USA, it will be easier to get USD for international trade and to pay debts. But forget about the trade surplus as in the past. And many more.

Take a side with China... I don't know. What is the advantage of siding with China?

Ask Argentina. Who doesn't have USD but still happily trades with China through currency swap agreement

 

[ety]

Taking sides between China and the US?

This is very interesting.

If you side with the USA, it will be easier to get USD for international trade and to pay debts. But forget about the trade surplus as in the past. And many more.

Take a side with China... I don't know. What is the advantage of siding with China?

EU is the big fish sought here, i think they already said no to Trump so far. Another big fish sought is ASEAN, but I think it is behind China since there is free trade RCEP between them, total trade between ASEAN and China is twice that between ASEAN and US.

 

[mythbuster]

EU is the big fish sought here, i think they already said no to Trump so far. Another big fish sought is ASEAN, but I think it is behind China since there is free trade RCEP between them, total trade between ASEAN and China is twice that between ASEAN and US.

Total trade is not the issue , it's the trade surplus these countries are having with the US and the trade deficit with the Chinese...... though I am a strong supporter of china but can't deny the fact that china is on a weaker wicket here ......apart from the temporary hiccups , US will be a winner in the long run.

 

[ety]

Total trade is not the issue , it's the trade surplus these countries are having with the US and the trade deficit with the Chinese...... though I am a strong supporter of china but can't deny the fact that china is on a weaker wicket here ......apart from the temporary hiccups , US will be a winner in the long run.

ASEAN exports more goods value to China than to US. Many Chinese products exported to EU are hard to find replacements if not impossible, and I think EU wants to portray it as an independent block or pole from the US. You can't just look trade as in simple term of deficits or surpluses as Trump does, countries import many products from China because they need them, that's why China has the upper hand in the trade war with US now because US can't find alternatives to many Chinese products, China can find alternate markets in other countries and internal consumptions.

 

[drkrn86]

No country has Chinas capacity but even if many Chinese products are replaced, the US will experience hyperinflation and economic collapse simply due to de dollarization and skyrocketing treasury yields.

DeDollarization is the reality. But, it doesn't mean collapse of US economy. They just won't have the muscle to bully others.
Same with China. The decoupling may even take decades.
Eventually China will be replaced.

 

[drkrn86]

It will absolutely end with hyperinflation, are you serious? That’s without a single shred of doubt.

And what makes you to say so??

 

[drkrn86]

Taking sides between China and the US?

This is very interesting.

If you side with the USA, it will be easier to get USD for international trade and to pay debts. But forget about the trade surplus as in the past. And many more.

Take a side with China... I don't know. What is the advantage of siding with China?

Even worse awaits

 

[Viet]

EU is the big fish sought here, i think they already said no to Trump so far. Another big fish sought is ASEAN, but I think it is behind China since there is free trade RCEP between them, total trade between ASEAN and China is twice that between ASEAN and US.

the EU has a big stick to deal with Trump: tax US tech companies or restrict their business. Europe can crash the US stocks and financial market. Europe can stand alone on its own feet.

ASEAN is too small in terms economics, military, technology. if allying with China then it will be a different game.