China

The Export-Import Bank is seeking industry input on how it might change its U.S. content requirement for the technology sector so companies can receive more financing and be more competitive against China, agency officials said on Thursday.

The Commerce Department on Friday announced an amendment to the foreign direct product rule that will make high-tech chips destined for Huawei subject to U.S. export control licensing requirements if those chips are produced with U.S.-controlled equipment or if the chip’s design are of U.S. origin.

The investigation is the seventh to be self-initiated by the department during the Trump administration.

China is expected to fully meet its obligations under the U.S.-China phase-one trade agreement “in a timely manner” despite the novel coronavirus outbreak that has wreaked havoc on the global economy, U.S. Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin said in a joint statement late Thursday after a phone call with their Chinese counterpart.

Data released Thursday by China’s Customs Administration shows China is importing less from the U.S. than it was a year ago through April, despite Beijing’s promise to increase its purchases of American goods by about 60 percent from last year’s totals.

A Chinese official on Wednesday responded to President Trump’s threats to again impose tariffs on China -- this time claiming Beijing must be punished for its role in the coronavirus outbreak -- by saying that new duties on Chinese goods would only harm the U.S. when the two countries should instead be working together.

The gap with China dropped again, from $19.7 billion to $15.5 billion.

Pressure is mounting on the Trump administration to retaliate against China in some fashion for its role in the coronavirus pandemic – and with tariffs one of the president’s favorite policy tools, analysts say Beijing could soon be hit with new duties.

China’s Ministry of Commerce on Thursday claimed the Federal Communications Commission is discriminating against Chinese state-owned telecommunications companies by demanding that four prove they are not influenced by China’s government if they want to keep their operating licenses.