In the first two months of the year, the Spanish trade deficit has soared to €9,612 million, of which €6,079 million correspond to the deficit with China. China has become Spain’s top supplier, ahead of Germany, after its exports to Spain grew by 22.9% to €8,002 million. In February, Spanish goods exports grew at an annual rate of 0.4% and at a month-on-month rate of 7.4%. Meanwhile, imports in February…
Bankinter| The Trade Balance shows an increase in the surplus in March to $102.64 billion from $31.72 billion previously and $75.15 billion estimated. This evolution is due to the acceleration of Exports (up 12.4% from -3.0% previously and +4.6% estimated) and the contraction of Imports (down 4.3% from +1.5% previously and -2.1% previously). Analysis team opinion: More solid data than estimated. However, it is a one-off improvement. Uncertainty over the…
BancaMarch | China has already responded forcefully, with a 34% tariff on all imports from the US, to be applied from 10 April. In addition, it has introduced restrictions on the export of certain rare earths to the US. Other countries have not yet stated their response. Within the European Union (EU), member states such as France and Germany are taking a belligerent stance, while Italy is considering working towards…
The President of the Government, Pedro Sánchez, begins an official trip to Vietnam and China this week with a strong commercial focus, aiming to increase sales of Spanish companies in these countries amidst the tariff war initiated by U.S. President Donald Trump. The goal of the trip is to balance trade relations with both countries—currently, they sell much more to Spain than they buy—and it takes on special ignificance in…
Alicia García Herrero (Natixis) | China’s most important annual gathering, the so-called Lianghui(两会) will ended on March 11 after over a week of meetings by the legislative body, the National People’s Congress (NPC), but also the most important consultative body, the Chinese People’s Political Consultative Conference (CPPCC). One of the key objectives of these “Two Sessions”, as they are generally referred to in English, was to offer the key economic…
Norbolsa | New housing prices in China stagnated in January for the second consecutive month, with an annual fall of 5% compared to 5.3% previously. The number of unsold new homes increased by 16.2%, reaching 390.88 million m², and new projects fell by 23% in 2023. In the secondary market, prices fell 30% from their peak, with annual declines of 5.6% (first-tier cities), 6.0% (second-tier) and 8.2% (third-tier), representing 59%…
Intermoney | The US is wielding tariffs as a weapon to achieve certain concessions and show its ability to exert pressure in certain areas, but we should not overestimate them, as in some cases the products lack high added value. This is the case with aluminium and China. Chinese aluminium manufacturers will hardly be affected by the US plan to impose tariffs of 25% on steel and aluminium imports. The…
Juan Pedro Marín Arrese | The sweeping tariffs on Canada, Mexico and China do not stem out of protectionism. In Trump’s mind they simply amount to massive destruction weapons aimed at waging wars without casualties. He aims to submit and bully every nation on earth be it a friend or a foe. For all we know that difference doesn’t really matter. The longstanding close alliance between the US and its…
Bankinter: Trump says he could impose a 10% tariff on China and warns Europe. The United States is considering a 10% tariff on China. He justifies it as retaliation for China’s exports of fentanyl. It marks 1 February as a key date. In this regard, on Monday Trump affirmed his intention to apply 25% tariffs to Canada and Mexico. Bankinter analysis team view: Trump sends a reminder that he will…
Link Secutities | The People’s Bank of China (PBoC) today injected a net cash amount of ¥958.4 billion via 7-day reverse repurchase agreements in its daily open market operations. This is the second-largest-ever cash injection, according to Bloomberg. The operation is aimed at offsetting the impact of maturing medium-term lending facilities (MLF), as well as coping with higher demand for cash ahead of the Lunar New Year holidays, and peak…