Chinas commerce ministry just rolled-out new trade-friendly policies (approved by Premier Li Qiang and his cabinet earlier this month): focusing on better financing and export growth for local firms
The move comes as Chinese exporters face uncertainty due to possible US trade changes - with economists saying new tariffs could reach 40% by early next year. This has made many manufacturers think about moving their operations to south-east Asia and other places
Trade remains a bright-spot in Chinas economy while other areas like real-estate and local spending dont show much life. The new rules aim to help companies deal with currency risks; financial groups will get support to create more risk-management products that keep the yuan stable
The ministry plans several key changes:
- More support for agricultural product exports
- Help with importing core equipment
- Better energy product access
- Easier travel rules for business people from key trade partners
The government wants to help firms deal with what it calls “unreasonable trade restrictions“ from other countries - looking to create good conditions for export growth. With predictions showing possible US tariffs could cut Chinas growth by 1%‚ these new trade-support measures seem well-timed