China retaliates again in Trump’s trade war, prompting flight from US assets

China retaliates again in Trump’s trade war, prompting flight from US assets
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Beijing indicated that this would be the last time it matched the US tariff increases, should Trump take his duties any higher. (AFP)
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Updated 12 April 2025
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China retaliates again in Trump’s trade war, prompting flight from US assets

China retaliates again in Trump’s trade war, prompting flight from US assets
  • Global markets rattle as US tariffs on China hit 145% (2596581)
  • Donald Trump has now imposed new tariffs on Chinese goods of 145 percent since taking office
  • Beijing indicated that this would be the last time it matched the US tariff hike

BEIJING/WASHINGTON/LONDON: Beijing increased its tariffs on US imports to 125 percent on Friday, hitting back against President Donald Trump’s decision to raise duties on Chinese goods and upping the stakes in a trade war that threatens to upend global supply chains.
The retaliation intensified global economic turmoil unleashed by Trump’s tariffs. US stocks ended a volatile week higher, but the safe haven of gold hit a record high during the session and benchmark US 10-year government bond yields posted their biggest weekly increase since 2001 alongside a slump in the dollar, signaling a lack of confidence in America Inc.
One US survey of consumers showed inflation fears have mounted to their highest since 1981, while financial institutions have been forecasting an ever greater risk of recession.
Trump downplayed the market turbulence, predicting the dollar would strengthen and saying many tariffs could settle in around 10 percent once the United States cut trade deals with all the countries that want to negotiate.
“When people understand what we’re doing, I think the dollar will go way up,” he told reporters aboard Air Force One late on Friday. “The bond market’s going good. It had a little moment but I solved that problem very quickly.”
The White House has said more than 75 countries have sought negotiations and that future deals would bring certainty.
India and Japan are among the powers to have advanced toward trade talks, but generally foreign leaders have puzzled over how to respond to the biggest disruption to the world trade order in decades.
The tit-for-tat tariff increases by the US and China stand to make goods trade between the world’s two largest economies impossible, analysts say. That commerce was worth more than $650 billion in 2024.
“The president made it very clear: When the United States is punched, he will punch back harder,” White House Press Secretary Karoline Leavitt told reporters on Friday.
The dollar slid and a sell-off intensified in US Treasuries, the world’s biggest bond market, as gold climbed.
With the dollar weakening, selling of US assets was perhaps most exemplified by t
The price decline in the US 10-year Treasury note. decline drove its yield — which moves opposite to the price and is critical for determining interest rates on mortgages — to a two-month high. On the week, its yield has climbed nearly half a percentage point.
Treasury Secretary Scott Bessent is closely monitoring the bond market, Leavitt said.
A second day of data on US inflation showed price pressures were not yet building broadly across the US economy, although the Producer Price Index for March did show industrial metals prices rising due to import levies on things like steel and aluminum, in place for a month now.
“Tarifflation will be much more important for the outlook than backward-looking data,” said Bill Adams, chief economist at Comerica Bank. “If tariffs stay in place they will push inflation considerably higher in coming months.”
The University of Michigan said its Consumer Sentiment Index dropped to 50.8 this month from 57.0 in March. Economists polled by Reuters had forecast the index falling to 54.5.
In a reversal of previous surveys, the latest one also showed weakening confidence among Trump’s fellow Republicans.
Consumers’ 12-month inflation expectations soared to 6.7 percent this month, the highest since 1981, from 5.0 percent in March, according to the survey.

Trade war with China
This week, Trump announced a 90-day tariff pause on dozens of countries while ratcheting up tariffs on Chinese imports effectively to 145 percent.
China retaliated with more tariffs on Friday. China’s finance ministry called Trump’s tariffs “completely unilateral bullying and coercion.”
Beijing indicated this would be the last time it matched US tariff rises but left the door open for other types of retaliation.
“If the US truly wants to have talks, it should stop its capricious and destructive behavior,” Liu Pengyu, spokesperson for the Chinese embassy in the US, wrote on social media. “China will never bow to maximum pressure of the US“
UBS analysts in a note called China’s declaration “an acknowledgement that trade between the two countries has essentially been completely severed.”
Leavitt, in turn, delivered a warning to Beijing: “If China continues to retaliate, it’s not good for China.”
On Thursday, Trump told reporters he thought the US could make a deal with China and he respected Chinese President Xi Jinping. On Friday, Xi made his first public remarks on Trump’s tariffs, telling Spanish Prime Minister Pedro Sanchez in Beijing that China and the European Union should “jointly oppose unilateral acts of bullying.”


Maldives ban Israelis to protest Gaza war

Maldives ban Israelis to protest Gaza war
Updated 57 min 39 sec ago
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Maldives ban Israelis to protest Gaza war

Maldives ban Israelis to protest Gaza war
  • President Mohamed Muizzu ratified the legislation shortly after it was approved by parliament on Tuesday
  • Official data showed that only 59 Israeli tourists visited the archipelago in February, among 214,000 other foreign arrivals

MALE, Maldives: The Maldives announced Tuesday it was banning the entry of Israelis from the luxury tourist archipelago in “resolute solidarity” with the Palestinian people.
President Mohamed Muizzu ratified the legislation shortly after it was approved by parliament on Tuesday.
“The ratification reflects the government’s firm stance in response to the continuing atrocities and ongoing acts of genocide committed by Israel against the Palestinian people,” his office said in a statement.
“The Maldives reaffirms its resolute solidarity with the Palestinian cause.”
The ban will be implemented with immediate effect, a spokesman for Muizzu’s office said.
The Maldives, a small Islamic republic of 1,192 strategically located coral islets, is known for its secluded white sandy beaches, shallow turquoise lagoons and Robinson Crusoe-style getaways.
Official data showed that only 59 Israeli tourists visited the archipelago in February, among 214,000 other foreign arrivals.
The Maldives had lifted a previous ban on Israeli tourists in the early 1990s and briefly moved to restore relations in 2010.
Opposition parties and government allies in the Maldives have been pressuring Muizzu to ban Israelis as a statement of opposition to the Gaza war.
Israel’s Ministry of Foreign Affairs urged its citizens last year to avoid traveling to the Maldives.
The Gaza war broke out after Palestinian militant group Hamas’s October 2023 attack on Israel, which resulted in the deaths of 1,218 people, mostly civilians, according to an AFP tally based on official Israeli figures.
Gaza’s health ministry said on Sunday that at least 1,613 Palestinians had been killed since March 18, when a ceasefire collapsed, taking the overall death toll since the war began to 50,983.


China’s top Hong Kong official warns US ‘hillbillies’ over tariffs

China’s top Hong Kong official warns US ‘hillbillies’ over tariffs
Updated 15 April 2025
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China’s top Hong Kong official warns US ‘hillbillies’ over tariffs

China’s top Hong Kong official warns US ‘hillbillies’ over tariffs
  • Top Hong Kong official: Imposing tariffs on the city is ‘hegemonic and shameless in the extreme’
  • Xia Baolong: US sanctions and tariffs would not shake the determination of Beijing and Hong Kong governments

HONG KONG: Beijing’s top official overseeing Hong Kong slammed US tariffs on China as “hegemonic” and attacked American “hillbillies” on Tuesday, as the world’s two largest economies face off in a trade war that has battered global markets.
Xia Baolong, director of the Hong Kong and Macao Work Office, said in a speech that the Chinese finance hub has never levied taxes on imports and that the United States enjoyed a $272 billion trade surplus in the city over the past decade.
US President Donald Trump has increased the levies imposed on China to 145 percent, while Beijing has set a retaliatory 125 percent toll on American imports – a move not followed by Hong Kong.
Imposing tariffs on the city is “hegemonic and shameless in the extreme,” and shows that the United States does not want Hong Kong to thrive, Xia said.
The United States, he said, “is the greatest culprit in undermining Hong Kong’s human rights, freedom, rule of law, prosperity and stability.”
“It is not after our ‘tariffs’ – it wants to take our ‘lives’.”
Xia said the US sanctions and tariffs would not shake the determination of Beijing and Hong Kong governments and that “victory must belong to the great Chinese people.”
“Let those American ‘hillbillies’ wail before the 5,000-year-old civilization of the Chinese nation!” he said, adding that anyone seeking to bring China into poverty was an “enemy.”
The comments were part of a pre-recorded speech at a Hong Kong event to mark the 10th iteration of China’s annual national security education day.
Beijing imposed a national security law on Hong Kong after the city saw huge and sometimes violent pro-democracy protests in 2019.
Last year, the city passed another homegrown security law, which officials say is needed to restore order.
The United States imposed a fresh round of sanctions this month on Hong Kong’s outgoing police chief, justice secretary and other officials over human rights concerns.
China’s market regulator is looking into a deal by Hong Kong conglomerate CK Hutchison to offload 43 ports in 23 countries – including its two on the Panama Canal – to a US-led consortium.
The sale was seen as a political victory for Trump, who earlier vowed to “take back” the crucial waterway from alleged Chinese control.
Echoing earlier criticisms of the deal, Xia said on Tuesday “those who sell out the nation’s interest during key moments... will not meet a good end.”
Hong Kong leader John Lee also criticized the US tariffs as “absurd,” saying at the event that the correct reciprocal levy would be “zero” as Hong Kong is a free port.


Pakistan aims to deport millions of Afghans but local ties and resistance stall the campaign

Pakistan aims to deport millions of Afghans but local ties and resistance stall the campaign
Updated 15 April 2025
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Pakistan aims to deport millions of Afghans but local ties and resistance stall the campaign

Pakistan aims to deport millions of Afghans but local ties and resistance stall the campaign
  • The provincial government of Khyber Pakhtunkhwa appears reluctant to repatriate Afghans
  • More than 35,000 Afghans have left Pakistan since the start of April
  • Many recent deportations have been from eastern Punjab, which is hundreds of kilometers from the border and home to some 200,000 Afghans with documents

PESHAWAR: Akber Khan is seeing a brisk trade at his restaurant in the northwest Pakistani city of Peshawar. Staff fan skewers of grilled meats and dole out rice and salad.
As an Afghan, Khan ought to be leaving as part of a nationwide crackdown on foreigners the Pakistani government says are living in the country illegally. But the only heat he feels is from the kitchen.
“I have been here for almost 50 years. I got married here, so did my children, and 10 of my family members are buried here. That’s why we have no desire to leave,” he said.
Khan is one of more than 3 million Afghans that Pakistan wants to expel this year. At least a third live in the northwest province of Khyber Pakhtunkhwa, and that’s just those with documents like an Afghan Citizen Card or proof of registration.
It is not clear how many undocumented Afghans are in the country.
Shared cultural, ethnic and linguistic ties
The provincial government — led by the party of imprisoned former premier Imran Khan — appears reluctant to repatriate Afghans. Mountainous terrain, sectarian violence and an array of militant groups have also challenged the central government's expulsion ambitions.
“Afghans can never be completely repatriated, especially from Khyber Pakhtunkhwa, as they return using illegal channels or exploiting loopholes in the system despite fencing at the border,” said Abdullah Khan, managing director of the Pakistan Institute for Conflict and Security Studies. “Many villages along the border are divided between Pakistan and Afghanistan, and people in the past three or four decades were never stopped from visiting either side.”
Khyber Pakhtunkhwa’s proximity to Afghanistan, together with shared ethnic, cultural and linguistic ties, make it a natural destination for Afghans. The province has hosted significant numbers since the 1980s.
Many Afghans have integrated, even marrying locals. The region feels familiar and it’s easier to access through legal and illegal routes than other parts of Pakistan.
While the provincial government was cooperating with federal counterparts, policy implementation remained slow, analyst Khan told The Associated Press.
“The (local) government is sympathetic to Afghans for multiple reasons," he said. "They share the same traditions and culture as the province, and former Prime Minister Imran Khan during his days in power consistently opposed coercive measures toward Afghan refugees.”
Authorities are also wary about unrest, with Afghans living in almost all of the province’s cities, towns and villages.
A slow repatriation rate
Although police were raiding homes in Islamabad, Rawalpindi and other cities in Punjab and Sindh province farther from the border, the “lack of aggressive enforcement” was the main reason for the slow repatriation rate, analyst Khan said.
Pressure on Pakistan to have a change of heart — from rights groups, aid agencies and Afghanistan's Taliban government — could also be a factor.
More than 35,000 Afghans have left Pakistan since the start of April through the northwest Torkham crossing. It’s a far cry from the volume seen in the early phases of the expulsion campaign in 2023, when hundreds of thousands fled to beat a government-imposed deadline to leave.
Many recent deportations have been from eastern Punjab, which is hundreds of kilometers from the border and home to some 200,000 Afghans with documents.
‘We are going under duress’
At a highway rest stop on the outskirts of Peshawar, a truck carrying 30 Afghans stopped to give passengers a break before they left Pakistan for good. They had come from Punjab. Families nestled among furniture, clothes and other items. A woman in a burqa, the covering commonly seen in Afghanistan, clambered down.
Ajab Gul said the actions of Pakistani officials had forced them to leave: “We didn’t want to go. They raided our houses two or three times. We are going under duress.”
Another truckload of passengers from Punjab pulled over by the Torkham border crossing to speak to the AP.
Jannat Gul outlined the dilemma that awaited many. “Our children’s education (in Afghanistan) has been destroyed. We’re going there, but we have no connections, no acquaintances. In fact, people often call us Pakistanis. No one regards us as Afghan.”
‘If they take him, I will stop them’
There were happier scenes at the Kababayan refugee camp in Peshawar, where children played and ate ice cream in the sunshine. The camp, established in 1980 shortly after the Russian invasion of Afghanistan, is home to more than 15,000 people and has schools, a health center, electricity and drinking water.
School is a crucial reason Afghans want to stay in Pakistan, because the Taliban have barred girls from education beyond sixth grade.
Muhammad Zameer, a camp resident, said girls’ education was “non-existent” across the border.
Other camp residents have a different concern: their Afghan husbands. Afghan men face deportation, and their local wives are unhappy.
Some are fighting to get their husbands a Pakistani identity card, which unlocks basic public services as well as indefinite stay, property ownership, bank account access and employment.
Some wives said they are willing to fight anyone deporting their husbands.
“I never imagined the government would treat my husband like this,” said one, Taslima. “If they take him, I will stop them."


US flies long-range bomber for drill with South Korea, as Pyongyang marks key anniversary

US flies long-range bomber for drill with South Korea, as Pyongyang marks key anniversary
Updated 15 April 2025
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US flies long-range bomber for drill with South Korea, as Pyongyang marks key anniversary

US flies long-range bomber for drill with South Korea, as Pyongyang marks key anniversary
  • North Korea often reacts to the US deployment of B-1B bombers and other powerful military assets
  • Tuesday’s flyover of the US bombers could draw an angrier response

SEOUL: The United States flew long-range B-1B bombers in a show of force against North Korea on Tuesday, days after the powerful sister of North Korean leader Kim Jong Un vowed to resist a US-led push to eliminate the North’s nuclear program.
North Korea often reacts to the US deployment of B-1B bombers and other powerful military assets with missile tests and fiery rhetoric. Tuesday’s flyover of the US bombers could draw an angrier response because it happened when North Korea was marking a key anniversary – the 113th birthday of state founder Kim Il Sung, the late grandfather of the current leader.
South Korea’s Defense Ministry said the US bombers participated in a South Korea-US aerial drill over the Korean Peninsula to strengthen the allies’ combined operational capability and demonstrate their deterrence capability against North Korea’s advancing nuclear program.
A ministry statement said South Korean F-35 and F-16 fighter jets and American F-16 fighter jets also took part in the training. It said South Korea and the US will continue to expand their joint military exercises to respond to North Korean nuclear threats.
It was the second time a US B-1B’s had participated in a drill with South Korea since President Donald Trump began his second term in January.
In February, North Korea’s Defense Ministry slammed the B-1B’s earlier flyover as proof of intensifying US-led provocations since Trump’s inauguration. It pledged to counter the strategic threat of the US with strategic means. Days later, North Korea test-fired cruise missiles in what it called an attempt to show its nuclear counterattack capability.
Trump has repeatedly said he will reach out to Kim Jong Un to revive diplomacy. North Korea hasn’t directly responded to Trump’s outreach.
Last Wednesday, Kim Yo Jong – Kim’s sister and a senior official – derided the US and its Asian allies over what she called their “daydream” of denuclearizing the North, insisting that the country will never give up its nuclear weapons program. Her statement came as a response to a recent meeting among the top diplomats of the United States, South Korea and Japan where they reaffirmed their commitment to push for the North’s denuclearization.
The Kim Il Sung birthday, called “the Day of Sun,” is one of the most important holidays in North Korea, where a state-sponsored cult of personality treats key members of the ruling Kim family like gods. On Tuesday, the country’s main Rodong Sinmun newspaper issued an editorial urging the public to rally behind Kim Jong Un to achieve a national prosperity. In recent days, North Korea has held seminars, performances and other events commemorating the founder’s achievements.


Singapore dissolves parliament ahead of imminent election

Singapore dissolves parliament ahead of imminent election
Updated 15 April 2025
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Singapore dissolves parliament ahead of imminent election

Singapore dissolves parliament ahead of imminent election
  • The vote will be the first electoral test for Prime Minister Lawrence Wong
  • The election will take place amid a gloomy economic outlook

SINGAPORE: Singapore’s parliament was dissolved on Tuesday ahead of a general election to be held within three months, a government gazette said.
The vote will be the first electoral test for Prime Minister Lawrence Wong, who took over from long-time premier Lee Hsien Loong as leader of the People’s Action Party in May 2024.
The PAP is almost certain to dominate and win most seats, as it has in every vote since independence in 1965, although its share of the popular vote will be closely watched after one of its worst electoral performances in the last contest in 2020.
The election will take place amid a gloomy economic outlook as US President Donald Trump’s tariffs threaten to hit activity in the trade-reliant nation, which on Monday downgraded its growth forecast for 2025 to 0 percent to 2 percent, from 1 percent to 3 percent.
The ruling party’s popularity has dimmed in recent elections as the opposition steadily gained more ground in parliament, winning an unprecedented 6 seats in 2011 and 2015, and 10 in 2020.
The upcoming election will have four more seats compared to the last vote in 2020, with 97 lawmakers elected from 15 single-member electoral divisions and 18 divisions with 4 or 5 members each.
In February, Wong delivered what analysts called “a full-blown election budget” with goodies for all Singaporeans ahead of the polls.