China drawing up new measures to boost trade amid US tariff war

China's economy grew 6.2 per cent in the second quarter of this year, its slowest rate in 27 years, hit by a costly tit-for-tat exchange of tariffs with the United States.
China's economy grew 6.2 per cent in the second quarter of this year, its slowest rate in 27 years, hit by a costly tit-for-tat exchange of tariffs with the United States.PHOTO: AFP

SHANGHAI (REUTERS) - China is drawing up new measures aimed at stabilising foreign trade, the official China Securities Journal reported on Thursday (Aug 8), to offset the effects of a bitter trade war with the United States.

The newspaper, run by the Xinhua agency, said several government departments were currently drafting policies and considering revising catalogues specifying what technologies should be imported.

They were also looking at expanding cross-border e-commerce and launching new import trade demonstration zones.

Importing new high-end technologies would help promote the "upgrade" and "internationalisation" of China's economy, the paper said, citing government and industry officials.

China's economy grew 6.2 per cent in the second quarter of this year, its slowest rate in 27 years, hit by a costly tit-for-tat exchange of tariffs with the US.

Last week, Washington said it would impose an additional 10 per cent tariff on Chinese products worth US$300 billion (S$414 billion), starting from Sept 1.

China has been cutting taxes and reserve rate requirements and local governments are also issuing bonds for infrastructure construction in a bid to stimulate its slowing economy.

Communist Party newspaper The People's Daily also said in an editorial that the US was ignoring the needs of its own people as well as the interests of other countries, and warned that China would have to take "necessary counter-measures".