TFG Trade Briefing, 6th January 2020
Your Monday morning coffee briefing from TFG. Here are some of the last week’s updates from the trade sector. The US has agreed to cancel some planned increases in import tariff. Oil prices surged 3% on Friday following confirmation by the Pentagon that Iran’s top commander was killed in a U.S. airstrike in Baghdad. Boris Johnson will host the president of the European commission, Ursula Von Der Leyen, in Downing Street this week. CaixaBank launches the blockchain platform we.trade.
The US has agreed to cancel some planned increases in import tariff
President Trump has agreed to a limited trade agreement with Beijing that will roll back existing tariff rates on Chinese goods and cancel new levies as part of a deal to boost Chinese purchases of U.S. farm goods and obtain other concessions, according to people familiar with the matter.
In return, China has said it will increase imports of US agricultural produce and open its economy to greater international competition. The deal went down well with financial markets but at best it is the first step towards a reduction of trade tensions between the two countries. Read more →
WTO to suffer heavy blow as US stymies appeals body
The appellate body of the World Trade Organization (WTO) ceasing to function following the US exercising their veto to block the appointment of new judges. The WTO’s appellate body (AB), which adjudicates on contested rulings over disputes between member countries, will become unable to function. Putting it out of action increases the risk that trade disputes will escalate. Read more →
The oil price surged by almost 4%
Oil prices surged 3% on Friday following confirmation by the Pentagon that Iran’s top commander was killed in a U.S. airstrike in Baghdad, raising concerns of a bigger conflict between the two countries that could disrupt energy production in the region. Read more →
Boris Johnson to open trade talks with Ursula von der Leyen
Boris Johnson will host the president of the European Commission, Ursula Von Der Leyen, in Downing Street this week as he prepares to take Britain out of the EU at the end of this month, kicking off a race against time to secure a free trade deal. Read more →
UK exports beyond the EU growing five times as fast
Office for National Statistics (ONS) show in the twelve months to September 2019 that UK exports to outside the EU grew nearly 5 times as fast as exports to countries inside the bloc.
UK exports to the EU grew by 1.3% and now total £296.8 billion, while exports to non-EU countries saw growth of 6.3% to reach £376.7 billion. Read more →
CaixaBank launches the blockchain platform we.trade
CaixaBank has added the digital trade platform we.trade to its service catalogue for companies. Thus, it has become one of the first European banks to grant its customers access to blockchain technology, with the goal of helping them to internationalise their business. Read more →
R3 Completes Trade Finance Blockchain Trial With More Than 70 Organizations
This trial included more than 70 organizations from more than 25 countries. Upwards of 340 participants from those organizations were involved and came out from sectors like financial services, information technology, telecommunications, logistics, the maritime industry, real estate, hospitality and the automotive industry. Read more →