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US-China trade relationship significantly imbalanced, says US trade representative

WASHINGTON (BLOOMBERG) – The trade relationship between the two largest economies in the world has “significant imbalance” and the Biden administration is committed to levelling it, according to the US trade representative. “There are parts of this trade relationship that are unhealthy and have over time been damaging in some very important ways to the US economy,” Trade Representative Katherine Tai told reporters Saturday (June 5) in response to a question about whether the US would continue with a trade deal signed with China in January 2020 and the tariffs on Chinese goods. “It’s a relationship in trade that has been marked by significant imbalance – that is in terms of performance, but also in terms of opportunity and openness of our markets to each other,” she said ahead of a virtual meeting of trade ministers from members of the Asia-Pacific Economic Cooperation (Apec) forum. “The United States is committed to doing everything we can to bring balance back to the US-China trade relationship.” The comments come as the two nations seem to be increasing their economic discussions, with Chinese Vice-Premier Liu He speaking to both Ms Tai and Treasury Secretary Janet Yellen over the past two

New World’s latest property launch sells out as Hong Kong’s homebuyers return in droves amid buoyant sentiments

G-7 backs making climate risk disclosure mandatory for banks and companies

LONDON (REUTERS) – Group of Seven (G-7) rich countries backed moves to force banks and companies to disclose their exposure to climate-related risks on Saturday (June 5), a measure seen as vital to efforts to safeguard the financial system from climate change shocks. G-7 finance ministers meeting in London also called for more coordination to measure what impact companies are having on the climate and environment, warning of the risk of fragmentation as local jurisdictions adopt different approaches. “We support moving towards mandatory climate-related financial disclosures that provide consistent and decision-useful information for market participants…,” said a final communique released after the two days of talks. “This will help mobilise the trillions of dollars of private sector finance needed, and reinforce government policy to meet our net zero commitments,” it said of a growing number of pledges by major economies to attain net-zero carbon emissions. Central banks and other financial regulators complain that there is a lack of reliable data about how exposed businesses on their territories are to climate risk and how environmentally friendly or otherwise their activities are. Such data are now most often collected on a voluntary basis, although some jurisdictions such as France

G-7 finance ministers agree minimum global corporation tax rate of at least 15%

LONDON (REUTERS) – The United States, Britain and other leading nations reached a landmark deal on Saturday (June 5) to pursue higher global taxation on multinational businesses such as Google, Apple and Amazon.  In a move that could raise hundreds of billions of dollars to help them cope with the aftermath of Covid-19, the Group of Seven (G-7) large advanced economies agreed to back a minimum global corporate rate of at least 15 per cent and for companies to pay more tax in the markets where they sell goods and services.  “G-7 finance ministers have reached a historic agreement to reform the global tax system to make it fit for the global digital age,” British finance minister Rishi Sunak said after chairing a two-day meeting in London.  US Treasury Secretary Janet Yellen said the “significant, unprecedented commitment” would end what she called a race to the bottom on global taxation.  The deal, which was years in the making, also promises to end national digital services taxes levied by Britain and other European countries which the United States said unfairly targeted US technology giants.  However, the measures will first need to find broader agreement at a meeting of the