Andy Browne

US-China trade tensions escalate ahead of the Trump-Xi summit as the US imposes new tariffs and restrictions on Chinese goods and companies, while China tightens rare earth product exports. A senior Chinese official and a former US trade negotiator indicate uncertainty in US strategy, with maintaining the trade truce as a key objective.

Chinese regulators are intensifying efforts to curb illegal cross-border stock trading, targeting brokerages that facilitate unauthorized capital outflows. The crackdown affects mainland companies listed overseas and could impact Hong Kong's IPO market, though short-term effects are deemed manageable. The move aims to enhance tax oversight amid declining government revenues linked to a real estate crisis.

President Donald Trump and Chinese leader Xi Jinping held a summit where the two countries shifted from escalating trade tensions to improved relations. A year prior, the US and China had raised tariffs on each other to over 100%, effectively halting trade between them. The meeting marked a significant thaw in US-China relations after years of Cold War-style tensions.