U.S. trade tariffs set to leave Mnuchin in cold at G20 meeting
By David Lawder and Luc Cohen WASHINGTON/BUENOS AIRES (Reuters) - The financial leaders of the world's 20 biggest economies meet in Buenos Aires this weekend for the first time since long-simmering trade tensions burst into the open when China and the United States put tariffs on $34 billion of each other's goods. The United States will seek to convince Japan and the European Union to join it in a more aggressive stance against Chinese trade practices at the G20 meeting of finance ministers and central bank presidents, according to a senior U.S. Treasury Department official, who spoke on condition on anonymity.
By David Lawder and Luc Cohen
WASHINGTON/BUENOS AIRES (Reuters) - The financial leaders of the world's 20 biggest economies meet in Buenos Aires this weekend for the first time since long-simmering trade tensions burst into the open when China and the United States put tariffs on $34 billion of each other's goods.
The United States will seek to convince Japan and the European Union to join it in a more aggressive stance against Chinese trade practices at the G20 meeting of finance ministers and central bank presidents, according to a senior U.S. Treasury Department official, who spoke on condition on anonymity.
But those efforts will be complicated by frustration over U.S. steel and aluminium import tariffs on the EU and Canada. Both responded with retaliatory tariffs in an escalating trade conflict that has shaken markets and threatens global growth.
"U.S. trading partners are unlikely to be in a conciliatory mood," said Eswar Prasad, international trade professor at Cornell University and former head of the International Monetary Fund's China Division.
"(U.S.) hostile actions against long-standing trading partners and allies has weakened its economic and geopolitical influence."
At the close of the last G20 meeting in Argentina in March, the financial leaders representing 75 percent of world trade and 85 percent of gross domestic product released a joint statement that rejected protectionism and urged "further dialogue," to little concrete effect.
Since then, the United States and China have slapped tariffs on $34 billion of each other's imports and U.S. President Donald Trump has threatened further tariffs on $200 billion in Chinese goods unless Beijing agrees to change its intellectual property practices and high-technology industrial subsidy plans.
Trump has said the U.S. tariffs aim to close the $335 billion annual U.S. trade deficit with China.
U.S. Treasury Minister Steven Mnuchin has no plans for a bilateral meeting with his Chinese counterpart in Buenos Aires, a U.S official said this week.
Rising trade tensions have led to concerns within the Japanese government over currency volatility, said a senior Japanese G20 official, who declined to be named. Such volatility could prompt an appreciation in the safe-haven yen and threaten Japanese exports.
Trump's metals tariffs prompted trade partners to retaliate with their own tariffs on U.S. goods ranging from whiskey to motorcycles. The United States has said it will challenge those tariffs at the World Trade Organization.
The EU finance ministers signed a joint text last week that will form their mandate for this weekend's meeting, criticizing "unilateral" U.S. trade actions, Reuters reported. The ministers will stress that trade restrictions "hurt everyone," a German official said.
In a briefing note prepared for the G20 participants, the International Monetary Fund said if all of Trump's threatened tariffs — and equal retaliation — went into effect, the global economy could lose up to 0.5 percent of GDP, or $430 billion, by 2020.
Global growth also may have peaked at 3.9 percent for 2018 and 2019, and downside risks have risen due to the tariff spat, the IMF said.
"While all countries will ultimately be worse off in a trade conflict, the U.S. economy is especially vulnerable," IMF Managing Director Christine Lagarde wrote in a blog post. "Policymakers can use this G20 meeting to move past self-defeating tit-for-tat tariffs."
Trade is not on host country Argentina's published agenda for the July 21-22 ministerial, which focuses on the "future of work" and infrastructure finance. But it will likely be discussed during a slot devoted to risks facing the global economy, much as in March, according to an Argentine official involved in G20 preparations, who asked not be named.
(Reporting by David Lawder and Luc Cohen; Additional reporting by Tetsushi Kajimoto in Tokyo; Editing by Daniel Flynn and Rosalba O'Brien)
This story has not been edited by Firstpost staff and is generated by auto-feed.
Find latest and upcoming tech gadgets online on Tech2 Gadgets. Get technology news, gadgets reviews & ratings. Popular gadgets including laptop, tablet and mobile specifications, features, prices, comparison.
By Jessica Resnick-Ault NEW YORK (Reuters) - Oil prices strengthened on Wednesday, as OPEC and its allies were seen complying with a pact to cut oil supply in September, even as concerns loomed that recovery in fuel demand will be stalled by soaring global coronavirus cases. Early in the day crude was boosted by a bullish stock market. Even as equities whipsawed on pandemic worries, oil stayed higher, buoyed by expectations that OPEC could staunch a supply glut
By Tina Bellon and C Nivedita (Reuters) - Tesla Inc will further cut the price of its Model S "Long Range" sedan in the United States to $69,420, the electric carmaker's chief executive, Elon Musk, announced in a tweet https://bit.ly/2H0JCP0 on Wednesday. The anticipated drop marks the second time this week Tesla has cut the price for the high-end sedan, following a 4% cut of the Model S's price in the United States on Tuesday to $71,990.
By Jeff Mason DES MOINES, Iowa (Reuters) - Under siege over his handling of the novel coronavirus pandemic, President Donald Trump on Wednesday cited what he said was his son's mild bout of the virus as a reason why American schools should reopen as soon as possible. Trump made the comment about his son, Barron, as the president swept into Iowa on a mission to shore up support in battleground states that he won in 2016 but is in danger of losing to Democrat Joe Biden barely three weeks before the election. First lady Melania Trump announced in a statement earlier in the day that the virus that struck both her and her husband had also infected their 14-year-old son