Business

China Imposes Retaliatory Tariffs on Canadian Goods Amid Escalating Trade War

Published

1 year ago

March 10, 2025

RTX

China has announced retaliatory tariffs on Canadian agricultural and seafood products, intensifying trade tensions between the two nations. The move, revealed on Saturday, comes in response to Canada’s tariffs on Chinese electric vehicles and metals imposed in October last year.

Beijing will enforce 100% tariffs on rapeseed oil, oil cakes, and peas, along with a 25% import levy on pork and aquatic products from March 20, further straining economic ties between the two countries.

Tit-for-Tat Tariffs Escalate Trade Conflict

The trade dispute between China and Canada has been growing since October 2023, when Ottawa imposed a 100% tariff on Chinese electric vehicles and 25% levies on Chinese steel and aluminum.

China’s Ministry of Commerce condemned Canada’s measures as violations of World Trade Organization (WTO) rules, calling them “acts of protectionism” that restrict Chinese exports and damage the country’s legitimate trade interests.

Impact on Canadian Exports

Canada’s rapeseed (canola) industry is expected to be heavily impacted by the new tariffs. In 2023, the crop generated C$13.6 billion (€8.73 billion) in sales, while Canadian canola meal and oil exports to China were valued at C$920.9 million (€591.3 million) and C$21 million (€13.5 million) respectively in 2024.

Additionally, Canada’s pea exports to China reached C$303 million (€194.5 million) last year. The new tariffs could severely disrupt trade flows, affecting Canadian farmers and exporters who rely on the Chinese market.

The Canadian Global Affairs Ministry denounced China’s tariff announcement as “unjustified”, stating that Canada rejects China’s findings and remains open to dialogue. The ministry accused China of unfair market practices, saying that its policies artificially lower production costs and distort global markets.

Wider Global Trade War Intensifies

China’s latest trade action follows a string of tariff hikes introduced by former US President Donald Trump last week, which included 25% duties on Canadian and Mexican imports and a doubling of tariffs on Chinese goods to 20%.

Shortly after, Trump granted a one-month exemption on auto and agricultural tariffs for Canada and Mexico under the USMCA agreement, as both countries signaled a willingness to reassess tariffs on Chinese imports.

China’s Economic Struggles Deepen

The trade war escalation comes amid economic uncertainty in China, with consumer prices falling 0.7% year-over-year in February, marking the first negative inflation rate in 13 months.

At its annual government meeting last week, Beijing set its 2025 GDP growth target at 5% and unveiled a trillions-of-yuan stimulus package to boost economic activity. However, analysts warn that sluggish domestic demand and mounting trade tensions could make achieving this target difficult.

To support economic recovery, China has pledged a “proactive fiscal policy and moderately loose monetary policy”, increasing its budget deficit to 4% of GDP—the highest in three decades.

Market Reaction and Currency Decline

Financial markets reacted negatively to the ongoing trade tensions. On Monday, the Chinese Yuan fell 0.22% against the US dollar, while Hong Kong’s Hang Seng Index slipped 1.7% in early trading.

Despite the recent downturn, Chinese markets have been rallying this year, partly fueled by the January launch of DeepSeek’s AI model, a Chinese tech startup competing with US AI firms.

As global trade disputes intensify, China and Canada remain locked in a growing economic standoff with potential long-term impacts on international commerce and investment flows.

Business

Global Markets Rise as US–Iran Talks Ease Sentiment, but Oil and Geopolitical Risks Persist

Published

2 days ago

May 22, 2026

Web Reporter

Global financial markets advanced on Friday as investors reacted cautiously to signs of progress in US–Iran negotiations, though ongoing disruption to shipping through the Strait of Hormuz and elevated oil prices kept risk sentiment fragile.

European equities opened higher across the board. The DAX gained 0.64%, supported by a 3.61% rise in Deutsche Post AG shares. France’s CAC 40 climbed 0.65%, led by a 3.43% jump in STMicroelectronics. In London, the FTSE 100 rose 0.38%, with gains in financial stocks including 3i Group, while the Euro Stoxx 50 added 0.88%.

Currency markets were relatively steady, with the euro trading at $1.161 and the British pound at $1.342 in early European trading. Sentiment was also lifted by better-than-expected economic data from Germany, where first-quarter growth came in at 0.4% year on year and consumer confidence improved heading into June, offering cautious optimism for Europe’s largest economy.

Asian markets followed the upward trend. Japan’s Nikkei 225 surged 2.7% to 63,339 after data showed inflation easing to a four-year low of 1.4% in April. Taiwan’s Taiex rose 2.2%, while Hong Kong’s Hang Seng and China’s Shanghai Composite each gained 0.9%. South Korea, Australia, and India also posted modest increases, reflecting broad regional strength.

Wall Street had earlier closed slightly higher. The S&P 500 added 0.2%, the Dow Jones rose 0.6%, and the Nasdaq edged up 0.1%. However, technology stocks showed mixed signals, with Nvidia falling 1.8% despite strong quarterly results, as investors weighed valuations against broader market uncertainty.

Oil markets remained the key source of volatility. Brent crude climbed 2.3% to $104.97 a barrel, while US West Texas Intermediate rose 1.8% to $98.10. Prices remain significantly above pre-conflict levels, driven by continued disruption in the Strait of Hormuz, through which roughly a quarter of global seaborne oil flows pass.

Shipping through the strategic waterway remains constrained, with limited signs of recovery as diplomatic negotiations continue without resolution. Analysts say markets are highly sensitive to developments in talks between Washington and Tehran, with ING commodities strategists noting that optimism exists but uncertainty dominates trading conditions.

Geopolitical tensions also weighed on policy discussions in Washington, where a planned congressional vote on war powers legislation was postponed amid insufficient support.

In bond markets, US Treasury yields eased slightly to 4.57% after earlier spikes driven by inflation concerns linked to energy prices. The movement reflected ongoing caution among investors balancing growth expectations with persistent geopolitical risk.

Corporate earnings added a bright spot in Asia, where Lenovo Group surged more than 20% after reporting stronger-than-expected quarterly revenue of $21.6 billion, driven by robust performance in its PC and smart devices division.

Business

Goldman Sachs tapped to lead SpaceX IPO as Musk eyes record-breaking market debut

Published

3 days ago

May 20, 2026

Web Reporter

Goldman Sachs has reportedly secured the lead underwriting role for the anticipated stock market debut of SpaceX, a move that signals preparations are accelerating for what could become the largest initial public offering in history.

According to sources cited by CNBC, the aerospace and artificial intelligence company founded by Elon Musk is expected to move ahead with a public listing later this year at a valuation of at least $1.25 trillion.

Such a valuation would place SpaceX among the world’s most valuable publicly traded companies immediately after listing, potentially ranking ahead of Tesla, another company led by Musk.

The planned flotation is also expected to further boost Musk’s personal fortune and could make him the first person to reach trillionaire status, according to market analysts.

Reports suggest the company is considering an unusual structure for the offering that would reserve a significant portion of shares for individual investors. SpaceX is said to be exploring plans to allocate as much as 30 percent of IPO shares to retail buyers, a move that would give smaller investors broader access to one of the most highly anticipated stock offerings in recent years.

Large technology IPOs are typically dominated by institutional investors such as hedge funds and pension firms, making the proposed retail allocation notable within the investment industry.

Analysts said much of SpaceX’s valuation growth has been driven by its satellite internet business, Starlink, which has rapidly expanded its global subscriber base and established a recurring revenue stream.

The company also increased its exposure to artificial intelligence earlier this year through an all-stock deal involving xAI, another Musk-controlled business. The transaction reportedly valued SpaceX at $1 trillion and xAI at $250 billion, creating a combined private valuation of $1.25 trillion.

The expected listing comes at a time when global IPO markets are beginning to recover after several years of weak activity caused by higher interest rates and volatility in technology stocks.

Recent enthusiasm around AI-related firms has revived investor appetite for major public offerings. Last week, AI chipmaker Cerebras Systems debuted on the Nasdaq and ended trading with a valuation near $95 billion, strengthening expectations for more large-scale technology listings in 2026.

For Goldman Sachs, landing the lead role in the SpaceX offering would represent one of the most prestigious deals in modern Wall Street history. Competition among major investment banks for high-profile technology listings has intensified as firms seek to secure lucrative underwriting fees and strengthen relationships with fast-growing AI and technology companies.

Neither SpaceX nor Goldman Sachs has publicly confirmed the reports.

Business

Greek Stocks Stage Remarkable Comeback After Years of Financial Turmoil

Published

5 days ago

May 19, 2026

Web Reporter

A decade after Greece’s financial crisis pushed its banking system to the brink and wiped out most of the country’s stock market value, Athens has emerged as one of the world’s strongest-performing equity markets, outperforming major global indices including the Nasdaq 100 over the past five years.

The recovery marks a dramatic reversal for a country once viewed as the eurozone’s biggest financial risk. In 2015, Greece imposed capital controls, shut its banks and froze trading on the Athens Stock Exchange as fears of sovereign default shook global markets. At the height of the crisis, cash withdrawals were limited to €60 a day and Greek government debt had been downgraded to junk status by major ratings agencies.

By February 2016, the Athens Composite Index had fallen more than 90 percent from its 2007 peak, while Greek banking shares lost nearly all their value.

Today, the picture looks very different.

The Athens Composite Index has returned about 146 percent over the past five years on a total-return basis, outpacing the Nasdaq 100, which gained around 116 percent during the same period. Greece’s rebound has been driven by sweeping banking reforms, stronger public finances and renewed investor confidence.

Greek banks played a central role in the recovery. Lenders including National Bank of Greece, Eurobank, Piraeus Bank and Alpha Bank spent years dealing with enormous volumes of bad loans accumulated during the debt crisis. At one point, nearly half of all loans on their books were classified as non-performing.

The clean-up accelerated under the government-backed Hercules asset protection scheme, which allowed banks to remove billions of euros in troubled loans from their balance sheets. Improved profitability, stronger deposits and tighter cost controls followed.

By 2025, the country’s four biggest banks had collectively posted profits close to €5 billion, with several restoring shareholder payouts and share buybacks.

At the same time, Greece carried out major tax and fiscal reforms under international supervision. Digital tax collection systems boosted compliance rates, while government finances steadily improved. Greece recorded primary budget surpluses in both 2024 and 2025, helping reduce its debt burden sharply from pandemic-era highs.

The recovery also prompted credit rating agencies to restore Greece to investment-grade status for the first time in more than a decade. Moody’s became the last major agency to do so in 2025.

International investors have increasingly returned to Greek assets, encouraged by still-attractive valuations compared with other European markets. Shares in some Greek banks have risen roughly 500 percent over the last five years, though many still trade at lower earnings multiples than their European peers.

Athens also received a major boost after Euronext completed its acquisition of the Greek stock exchange in late 2025, increasing the visibility of Greek companies among international investors and index funds.

Despite the turnaround, challenges remain. Greece’s economy is still heavily reliant on tourism, inflation remains elevated and officials warn that tensions in the Middle East could affect growth and energy prices.

Even so, Greece’s transformation from financial crisis symbol to one of Europe’s strongest market recoveries has become one of the most notable turnaround stories in global finance.