China's Xi Warns 'No Winners' in Trade War with US

A man rides a bicycle past a giant screen showing news footages of Chinese President Xi Jinping attending a Chinese Communist Party politburo meeting, in Beijing, China December 9, 2024. REUTERS/Tingshu Wang
A man rides a bicycle past a giant screen showing news footages of Chinese President Xi Jinping attending a Chinese Communist Party politburo meeting, in Beijing, China December 9, 2024. REUTERS/Tingshu Wang
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China's Xi Warns 'No Winners' in Trade War with US

A man rides a bicycle past a giant screen showing news footages of Chinese President Xi Jinping attending a Chinese Communist Party politburo meeting, in Beijing, China December 9, 2024. REUTERS/Tingshu Wang
A man rides a bicycle past a giant screen showing news footages of Chinese President Xi Jinping attending a Chinese Communist Party politburo meeting, in Beijing, China December 9, 2024. REUTERS/Tingshu Wang

Chinese President Xi Jinping warned Tuesday that there would be "no winners" in a trade war with the United States and vowed the country would hit its growth goals for the year.

Former US president Donald Trump -- who returns to the White House next month -- unleashed a grueling trade war with China during his first term in office, lambasting alleged intellectual property theft and other "unfair" practices.

He has pledged to impose even higher tariffs on China after taking office on January 20, as Beijing is grappling with a shaky post-pandemic economic recovery.

"Tariff wars, trade wars, and technology wars go against historical trends and economic rules, and there will be no winners," Xi said of China-US relations while meeting several heads of multilateral financial institutions in Beijing, according to state broadcaster CCTV.

"China is willing to maintain dialogue with the US government, expand cooperation, manage differences and promote the development of China-US relations in a stable, healthy and sustainable direction," AFP quoted Xi as saying.

Beijing is targeting annual growth this year of around five percent, despite sluggish domestic consumption, high unemployment and a prolonged crisis in the vast property sector.

Xi also said during Tuesday's meeting that China had "full confidence" in achieving its 2024 growth goal, state media reported.

His remarks came as official data showed the country's exports rose last month at a slower rate than expected while imports shrunk further, underscoring the challenges China is still facing.

The latest reading reinforced the need for more support a day after top officials pledged to bolster stuttering growth.

Overseas shipments this year have represented a rare bright spot in the Chinese economy, with domestic spending mired in a slump and persistent woes in the property sector spooking investors.

Exports jumped 6.7 percent on-year to $312.3 billion last month, China's General Administration of Customs said.

But the figure was much slower than the 8.7 percent anticipated by economists in a Bloomberg survey and well down from the 12.7 percent leap in October, which was the strongest in more than two years.

The data showed exports grew 5.4 percent on-year in January-November.

"China's exports were perhaps the biggest upside surprise for the economy in 2024," wrote Lynn Song, chief economist for Greater China at ING.

This is "one of the main reasons China is set to achieve its 'around five percent' growth target" for this year, he added.

Analysts have suggested the recent surge in shipments is because foreign buyers fearing another trade standoff were racing to beat any possible tariffs on Chinese goods by Trump.

"We could see some frontloading of exports in the coming few months but momentum is likely to soften after this is done, unless the outcome of tariff negotiations is surprisingly positive," wrote Song.

The 3.9 percent drop in imports last month extended a slide in the previous month -- and was much worse than the 0.9 percent rise forecast -- as domestic demand continues to be dampened by lacklustre consumer spending.

The readings come as investors closely watch signals from Chinese leaders, who are convening this week in Beijing for a series of key meetings on economic planning for the coming year.

The Politburo, China's top decision-making body, on Monday urged "vigorous" support for consumption and a loosening of monetary policy in 2025.

But observers are still waiting for the announcement of specific policies, particularly any measures to significantly bolster consumption.

Zhang Zhiwei, president and chief economist at Pinpoint Asset Management, said in a note that another key meeting on economic policy -- expected to take place in the coming days -- could "shed more light, particularly on the fiscal policy front.”



Riyadh and Tokyo to Launch Coordination Framework to Boost Cooperation

Saudi Ambassador to Japan Dr. Ghazi Binzagr. (Asharq Al-Awsat)
Saudi Ambassador to Japan Dr. Ghazi Binzagr. (Asharq Al-Awsat)
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Riyadh and Tokyo to Launch Coordination Framework to Boost Cooperation

Saudi Ambassador to Japan Dr. Ghazi Binzagr. (Asharq Al-Awsat)
Saudi Ambassador to Japan Dr. Ghazi Binzagr. (Asharq Al-Awsat)

Saudi Arabia and Japan are close to unveiling a higher partnership council that will be headed by the countries’ leaderships in line with efforts to build a partnership that bolsters the technical transformation and joint research in clean energy, communications and other areas, revealed Saudi Ambassador to Japan Dr. Ghazi Binzagr.

He told Asharq Al-Awsat that the two countries will soon open a new chapter in their sophisticated strategic partnership.

The new council will be chaired by Prince Mohammed bin Salman, Saudi Crown Prince and Prime Minister, and Japanese Prime Minister Shigeru Ishiba to push forward the Saudi-Japan Vision 2030, he added.

The council will elevate cooperation between the countries and pave the way for broader dialogue and consultations in various fields to bolster political, defense, economic, cultural and sports cooperation, he explained.

The two parties will work on critical technological partnerships that will focus on assessing and developing technologies to benefit from them, Binzagr said. They will also focus on the economy these technologies can create and in turn, the new jobs they will generate.

These jobs can be inside Saudi Arabia or abroad and provide employers with the opportunity to develop the sectors they are specialized in, he added.

Binzagr said Saudi Arabia and Japan will mark 70s years of relations in 2025, coinciding with the launch of Expo 2025 in Osaka in which the Kingdom will have a major presence.

Relations have been based on energy security and trade exchange with Japan’s need for oil. Now, according to Saudi Vision 2030, they can be based on renewable energy and the post-oil phase, remarked the ambassador.

Several opportunities are available in both countries in the cultural, sports and technical fields, he noted.

Both sides agree that improving clean energy and a sustainable environment cannot take place at the expense of a strong economy or quality of life, but through partnership between their countries to influence the global economy, he explained.

"For the next phase, we are keen on consolidating the concept of sustainable partnerships between the two countries in various fields so that this partnership can last for generations,” Binzagr stressed.

“I believe these old partnerships will last for decades and centuries to come,” he remarked.

Moreover, he noted that the oil sector was the cornerstone of the partnership and it will now shift to petrochemicals and the development of the petrochemical industry.