“In the event of a trade war with the United States, China’s response would go well beyond tariff increases,” said Mark Williams, Chief Asia Economist for Capital Economics. “U.S. companies would find their products and operations in China subject to tighter regulation that hampered their capacity to do business there.”
“U.S. exports of cars and aircraft would be in the firing line,” he said. China might also subject U.S. companies to tighter regulation that hampers their capacity to do business. Beijing may also encourage its exporters by offering tax rebates to overcome any reduction in export demand in the U.S., Williams said. Continue reading
Some 12,000 troops file past President Xi Jinping in Beijing, along with formations of tanks and armoured vehicles as warplanes screamed overhead.
China showed off a new missile reportedly capable of destroying an aircraft carrier on Thursday as it flexed its military muscle with a huge parade marking 70 years since the defeat of Japan in World War Two.
The parade, which was shunned by most Western leaders, witnessed 12,000 troops file past President Xi Jinping, along with formations of tanks and armoured vehicles as warplanes screamed overhead.