Here are the major happenings from the commodities market
The US followed through on its threat to hike duties on Chinese imports to 25percent. The risk is that China is just the beginning and India may be next
Here's a roundup of the key happenings in the commodities market.
Under the new system, which would come into force if Britain leaves the EU on March 29 without an agreement, tariffs would be retained but reduced for some agricultural products to protect British producers.
It is important to recognise that with rising protectionism and trade tension, it will not be easy for India to find alternative markets.
For the government, endeavour will be to increase the share of green energy in 2019 to fight climate change, but experts feel it would require resolving issues related to tariffs, safeguard duty, clarity on GST and meeting a tall investment order of Rs 5.12 lakh crore to finally achieve 175 GW of clean power by 2022.
Asia stocks had rallied on the news that Washington and Beijing would not impose any new tariffs during a three-month grace period, during which the two sides are meant to finalize a more detailed agreement.
In an interview with the Wall Street Journal four days ahead of his high-stakes meeting with Chinese President Xi Jinping in Argentina, Trump said it was "highly unlikely" he would accept China's request to hold off on the increase, which is due to take effect on Jan. 1.
Trump on October 1 threatened to impose new tariffs on additional $267 billion worth of imports from China and asserted that there will be no deal with Beijing unless it changes its unfair trade practices.
The supply of US bonds will spike if China sells its holdings resulting in a rise in yields. Higher yields will drive up the cost of borrowing for consumers and companies, causing the economy to slow down
President Donald Trump asked the US Trade Representative to consider increasing the proposed tariffs to 25 per cent from the planned 10 per cent, USTR Robert Lighthizer said yesterday.
"In this way, we want to avoid a further escalation of the trade conflict, and to avoid a trade war," Oettinger, a German, told Deutschlandfunk radio.
The long-standing duopoly in airline manufacturing has also acquired a political dimension in the backdrop of the trade war between China and the United States.
The administration released a wide-ranging list of Chinese goods it proposes be hit with tariffs, including hundreds of food products as well as tobacco, coal, chemicals and tires, dog and cat food, and consumer electronics including television components.
Chinese debt has ballooned to over 300 percent of its GDP even while domestic consumption and exports have both grown in tandem over the past decade.
The United States can expect a strong and united response from Europe to any further tariff increases, French Finance Minister Bruno Le Maire said on Sunday, warning a trade war was already underway.
Stock prices slumped amid fears of a trade war, with the Dow Jones industrial average falling nearly 252 points, or 1 percent, to 24,415.84.
These items include yogurt, coffee, sugar, toilet paper, sailboats, mattresses, washing machines and lawn mowers -- all aimed at exerting pressure on key US states that export a lot to Canada.
India recently requested exemptions, arguing that its exports of these products to the United States did not create a security concern for a country with whom it has a strategic partnership that goes beyond trade.
The tariffs, to take effect on Monday, was released late on Sunday and matches a list of potential tariffs on up to USD 3 billion in US goods published by China on March 23.
One business source, who has discussed the issue with the administration, said that the China tariffs may be subject to a public comment period, which would delay their effective date and allow industry groups and companies to lodge objections.
Telecom Commission's arguments that reduced tariffs and promo offers are lowering government revenue and hitting financials of the sector are "inconsistent" with public policy objectives, regulator Trai has said.
India is contemplating awarding the second high-speed rail project in the country soon and Japan seems to be the likely contender. A discussion to this effect will be held at the upcoming Japan visit of Prime Minister Narendra Modi starting on November 11, an article in the Economic Times today reports.
Within a day of Reliance Jio announcing the launch of its much-talked about 4G services with dirt-cheap tariffs, Vodafone today said it will invest more than Rs 500 crore to expand its 4G services in Gujarat.
According to CLSA import tariffs may apply on both legs post-Brexit, which would adversely impact JLR as it derives 24 percent of its volumes and sources 35-40 percent of its components from Europe.