China's trade surplus with the United States widened to a record $34.1 billion in September as exports to the US market rose by 13 percent over a year earlier despite a worsening tariff war. The amount was 10,000 bpd higher than the August import rate and was also the third monthly increase in a row as teapot refiners prepare for winter. Overall export growth accelerated to 14.5% on the year from less than 10% in August, with even export growth to the USA picking.
Ho, a naturalized U.S. citizen, pleaded guilty previous year to conspiring to produce "special nuclear material" in China in violation of the U.S. Atomic Energy Act.
"With global growth likely to cool further in the coming quarters and U.S. tariffs set to become more punishing, the recent resilience of exports is unlikely to be sustained", he said.
- China said Friday it is in contact with the United States amid reports of a planned meeting between President Xi Jinping and President Donald Trump next month following a dive in the USA stock market blamed partly on a growing trade war between the world's two largest economies. The Chinese are looking at it. Preparations are being made. Canadian crude is trading at a discount of as much as US$50 to WTI.
The new policy goes into immediate effect, and sets guidelines for reviewing all existing and future technology transfers into China, the officials said.
Formally accusing China of manipulating the renminbi wouldn't trigger any sanctions or retribution, but the move would heighten tensions between the world's two biggest economies.
Mnuchin suggested that the two leaders could meet next month if the Trump administration felt trade discussions were moving in a positive direction.
Chinese exports to the United States have at least temporarily defied forecasts they would weaken after being hit by punitive USA tariffs of up to 25 percent.
"Until they allow their currency to float freely, they are guilty", said Dan DiMicco, a former chief executive officer for the steelmaker Nucor Corp. who was an adviser to Trump's campaign and presidential transition and now sits on an advisory committee for U.S. Trade Representative Robert Lighthizer.
Mnuchin has said since July that Treasury is concerned about the yuan's recent drop.
China's trade surplus with the United States in September was more than China's total trade surplus of US$31.7 billion. Export numbers have been buoyed by producers rushing to fill orders before American tariffs rose.
"Exports continued to defy USA tariffs last month but imports struggled in the face of cooling domestic demand", said Julian Evans-Pritchard of Capital Economics in a report.
The currency has slid more than 9 percent against the dollar in the last six months, raising speculation that China has been deliberately weakening its currency as tensions with the US escalate. That prompted suggestions Beijing might weaken the exchange rate to help exporters, but that might hurt China's economy by encouraging an outflow of capital.