This morning in metals news, China responds to the U.S.’s $16 billion in tariffs with the same amount in return, China’s additional announced $60 billion tariff threat could have a significant impact on the liquefied natural gas sector and copper traded flat yesterday.
Back and Forth
China returned serve this week, responding to the U.S.’s announcement of $16 billion in tariffs on Chinese imports with the same amount in return, marking another escalation of trade tensions.
According to a report by the state-run Xinhua News Agency, the Customs Tariff Commission of the State Council will impose a 25% tariff on $16 billion in U.S. goods.
The list of U.S. goods targeted for tariffs (which is available on the Chinese Ministry of Finance website), encompasses 333 product lines.
Tariffs on LNG?
Liquefied natural gas (LNG) is among the items included in a $60 billion tariff list announced by China last week, CNBC reported.
The U.S. is the No. 1 producer of LNG, while China is currently the second-largest importer, according to the report.
Tensions Weigh on Copper
According to a Reuters report, LME copper traded nearly flat Wednesday, as trade tensions between the U.S. and China continue to negatively impact the metal’s price.
Softening of the U.S. dollar prevented bigger losses, according to the report. The U.S. Dollar Index fell from 95.39 to 95.03 by the end of the Wednesday; however, it has bounced back so far Thursday morning.