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World Expo opens on Sunday with host Japan aiming to bring humanity together, despite global turmoil and tepid public enthusiasm for the six-month event showcasing innovation as well as Hello Kitty in algae form.A Mars meteorite the size of a sourdough loaf and a beating heart grown from stem cells are among the myriad futuristic attractions crammed into a vast waterfront site in Osaka hosting more than 160 countries, regions and organisations.Most pavilions — each more outlandishly designed than the last — are encircled by the world’s largest wooden architectural structure, a towering latticed “Grand Ring” meant as a symbol of unity.But with conflicts raging and US tariffs threatening economic chaos, that goal may be optimistic.”Not for sale” states a yellow and blue sign over Ukraine’s booth — echoing defiant comments from leader Volodymyr Zelensky about the war with Russia, which chose not to mount a display at Expo 2025.Yahel Vilan, head of Israel’s equally compact pavilion, which features a stone from Jerusalem’s ancient Western Wall, told AFP that “we came with a message of peace”.Israel is not at Expo “to deal with politics”, he said. There is also a Palestinian pavilion, but it was not open at a Wednesday press preview. At the imposing US exhibit, absent was any mention of President Donald Trump’s hefty levies on trade partners, most of which he has now paused.Instead, the pavilion focuses on the world’s largest economy’s diverse landscapes, AI tech and space — including a simulated rocket launch where dry-ice blasters appear to ignite above visitors’ heads.- Human washing machine -After enjoying the view and sea breeze atop the Grand Ring’s “skywalk”, visitors can stop by the world’s longest sushi conveyor belt or meet many-eyed Expo 2025 mascot Myaku-Myaku.Among the more bizarre displays are 32 sculptures of Hello Kitty dressed as different types of algae — to symbolise the slimy plant’s many uses — and a “human washing machine” that shows imagery based on the bather’s heart rate.Elsewhere are demonstrations of drone-like flying vehicles, and the tiny artificial heart made from induced pluripotent stem cells (iPS) shown in public for the first time.”It has an actual pulseByron Russel of Pasona Group, which runs the exhibit, told AFP.Human stem cells were modified to become like “cardiac muscle cells” and “grown into the shape of the heart”, he explained. It will not beat continuously for six months but will be replaced every week or so.Themes of sustainability run through the Expo, including at the bauble-like Swiss pavilion, which aims to have the smallest ecological footprint.But Expos have been criticised for their temporary nature, and after October Osaka’s man-made island will be cleared to make way for a casino resort.According to Japanese media, only 12.5 percent of the Grand Ring will be reused.- Slow ticket sales -Expo is also known as a World’s Fair, and the phenomenon, which brought the Eiffel Tower to Paris, began with London’s 1851 Crystal Palace exhibition and is held every five years.The 2020 edition in Dubai was postponed by the Covid-19 pandemic, so Osaka Expo organisers say it will “restore much-needed connections” and “provide the opportunity to create a better tomorrow”.Osaka last hosed the Expo in 1970 when Japan was booming and its technology the envy of the world. It attracted 64 million people, a record until Shanghai in 2010.But 55 years on Japan is less of a trendsetter and opinion polls show low levels of enthusiasm for the Expo among the public.So far 8.7 million advance tickets have been shifted, below the pre-sales target of 14 million.This time around “inflation is causing a lot of anxiety, especially among younger generations”, Yani Karavasilev of the APIR think-tank told AFP.Japan is also experiencing a record tourism boom, meaning accommodation in Osaka — near hotspot Kyoto, and home to the Universal Studios Japan theme park — is often fully booked with prices sky-high.A lack of viral online posts about the Expo is another reason for low excitement levels, according to Karavasilev.”I think as long as sharing on social media picks up, ticket sales will pick up as well,” he said.

Vietnam and the United States agreed to start negotiations on a reciprocal trade agreement, Hanoi said on Thursday, hours after Washington delayed imposing an enormous tariff on the Southeast Asian manufacturing powerhouse. The United States was Vietnam’s biggest export market in the first three months of the year but President Donald Trump hit it with a 46 percent duty as part of a global trade blitz announced last week.Trump paused the stiff new tariffs on Wednesday and Vietnam’s Deputy Prime Minister Ho Duc Phoc suggested the two countries “should soon negotiate a bilateral trade agreement… to promote stable and mutually beneficial economic and trade relations”, according to a statement on the government news portal.Phoc has been appointed by top leader To Lam to negotiate with the United States on tariffs. He met with US Trade Representative Jamieson Greer on Wednesday.”The United States agreed that the two sides should initiate negotiations on a reciprocal trade agreement, which would include tariff agreements, and asked technical levels from both sides to begin discussions immediately,” according to the government statement.Phoc had meetings with senators and many organisations and businesses while in the United States, it said.Vietnamese budget airline Vietjet said on Thursday it had signed a $300 million agreement with AV AirFinance, a commercial aviation lending company, to boost its fleet.It said the agreement, signed in the presence of Phoc, was part of a broader series of aircraft financing deals totalling more than $4 billion that Vietjet had secured with leading US partners.AV AirFinance said Vietjet would begin taking delivery of the first batch of Boeing 737 MAX aircraft this year as part of a $24 billion deal originally announced in 2019.Vietnam had previously asked Trump for a delay of at least 45 days on the new tariff.Experts said the levy could seriously damage Vietnam’s growth model, which relies heavily on exports to the United States.Vietnam pledged to buy more US goods, including security and defence products, as it sought a reprieve.Trump claimed the communist country charges the United States a 90 percent tariff, a figure based on Vietnam’s trade surplus with the United States, worth $123.5 billion last year.His administration also appeared particularly angry about what it sees as the country’s role in attempts to get around tariffs imposed on China.Vietnam said in Thursday’s statement that it had “proactively addressed many concerns of the US”. 

A multi-eyed mascot, a vast wooden Grand Ring, 160 countries and regions strutting their stuff, and robots and sushi galore: Expo 2025 begins Sunday in Osaka, Japan.World Expo is held every five years in different global locations. Here are five things to know about this event, which runs until mid-October.- Grand Ring -Encircling dozens of national pavilions is the Grand Ring — recognised by Guinness World Records as the planet’s largest wooden architectural structure.Architect Sou Fujimoto says his edifice, which cost 34.4 billion yen ($230 million) and has a circumference of two kilometres (1.2 miles), is a symbol of unity.Latticed beams hold up a sloping roof, 20 metres (65 feet) tall at its highest point, which doubles as a “skywalk”.Fujimoto told AFP that he chose wood as a sustainable material.But Japanese media say just 12.5 percent of the temporary structure will be reused — down from the original plan of 25 percent.- ‘Mysterious’ mascot -Myaku-Myaku, Expo 2025’s mascot, is red and blue with five googly eyes dotted around its smiling mouth — and one more eye on its bobbly red tail.It is “a mysterious creature born from the fusion of cells and water”, according to event organisers.”Basking in the sunlight is the source of its energy” and sometimes the shape-shifting Myaku-Myaku “forgets its original form”, they say.Despite puzzled reactions when it was unveiled, the mascot has since become popular among social media users in Japan, and has even inspired fan art.- Slow sales -This is Osaka’s second World Expo after the 1970 edition that was attended by 64 million people, a record until Shanghai in 2010.At Expo 1970, the first film in IMAX format was shown and visitors admired rocks brought back from the Moon.But this time ticket sales have been slow and many locals are unimpressed by the construction being 27 percent over budget.Organisers want to sell 23 million tickets overall, and as of last week, 8.7 million had been sold. To encourage visitors, same-day admission will now be possible.- Meteorites and Marley -Japan’s pavilion will show off a meteorite from Mars discovered in Antarctica by Japanese researchers — the first time it will be on display to the public.Hungry visitors can stop by Japan’s longest sushi conveyor belt before checking out cutting-edge robots, drone shows and a beating “heart” grown from stem cells.The US pavilion, themed “America the Beautiful”, has an LED-screen simulator of a NASA rocket launch.Elsewhere visitors can help polish five heart-shaped “Love and Peace” rocks, while the Jamaica pavilion features life-size Bob Marley and Usain Bolt statues and a bobsleigh.- Ukraine ‘peace’ -Russia announced in 2023 — the year after it invaded Ukraine — that it would not participate in the Expo.But Ukraine is present, despite its dire financial situation caused by the war — a decision that Osaka’s governor has said “conveys peace”.It will reportedly show 18 objects including helmets used in the restoration of power facilities damaged by the Russian invasion, but these were not yet on display at a preview on Wednesday.

US President Donald Trump abruptly paused tariffs on most countries, sparking euphoria on global markets Thursday, but upped the ante on a brutal trade war with superpower rival China.After days of turmoil, stocks on Wall Street and across Asia saw huge surges in reaction to Trump’s announcement that he was halting a levy hike for almost all nations for 90 days.But Trump also said he was raising tariffs on China to 125 percent because of a “lack of respect.”Beijing hit back with retaliatory levies of 84 percent on US imports, which came into effect just after midday (0401 GMT) on Thursday, the latest salvo in an escalating standoff between the world’s two largest economies.Trump has denied that he backtracked on the tariffs, telling reporters that “you have to be flexible.””People were jumping a little bit out of line, they were getting yippy, a little bit afraid,” Trump said. “Yippy” is a term in sports to describe a loss of nerves.He said he had been watching the “very tricky” state of the crucial US bonds market before his decision.”I saw last night where people were getting a little queasy,” he said, as US bond yields rose during the stocks sell-off — a major economic red light as American sovereign government debt is normally seen as a safe haven for investors in troubled times.Trump also predicted that trade deals will be made with all countries, including China, which has for now refused to roll back retaliatory tariffs on US goods.”A deal’s going to be made with China. A deal’s going to be made with every one of them,” Trump said, adding however that China’s leaders “don’t quite know how to go about it.”Trump also said that he “can’t imagine” increasing Chinese tariffs more than he has.As Beijing weighs the costs of further escalation, Bloomberg reported that its top leadership will meet Thursday to hash out plans for additional stimulus to boost its fragile economy — already ailing before the trade war. – China duel -Markets have been on a rollercoaster ride since Trump’s announcement of sweeping global tariffs one week ago on what he called “Liberation Day” before his dramatic pause on Wednesday.Trump had imposed 10 percent baseline tariffs on all countries which came into effect on Saturday, and higher rates on key trading partners such as China and the European Union that he accused of cheating the United States, which activated on Wednesday.But as markets swayed yet again, Trump said in a surprise announcement on his Truth Social network that “I have authorized a 90 day PAUSE” on the higher tariffs, while the baseline 10 percent would remain.He said that he took the decision after more than 75 countries reached out to negotiate and did not retaliate.Japan — which had been slapped with 24 percent under the so-called reciprocal tariffs — said it welcomed the news but still “strongly” demanded that Washington reconsider other levies on its steel and auto exports.The European Union had earlier launched its own counterattack, announcing measures targeting some US products from next week in retaliation for American duties on global steel and aluminum exports.The 27-nation bloc will hit more than 20 billion euros’ worth of US products, including soybeans, motorcycles and beauty products.But the EU notably did not retaliate against the separate “Liberation Day” tariffs of 20 percent that came into effect on Wednesday.- ‘BE COOL!’ -Wall Street stocks rocketed on Trump’s pause announcement.The S&P 500 surged 9.5 percent to 5,456.90, snapping a brutal run of losses over the past week.Markets in Asia also rallied Thursday, with Hong Kong, Tokyo, Taipei, Australia, Indonesia and Singapore sharply higher.Stocks in Chinese economic powerhouse Shanghai were also up, despite Trump’s decision to further hike tariffs.Before his pivot, Trump said world leaders were rushing to negotiate “tailored” deals with the United States, with Japan and South Korea among those sending delegations to Washington.”I’m telling you, these countries are calling us up kissing my ass,” Trump told a dinner with fellow Republicans on Tuesday night.Trump believes his policy will revive America’s lost manufacturing base by forcing companies to relocate to the United States.The billionaire former property tycoon has particularly raged against China, accusing it of excess production and “dumping” inexpensive goods on other economies.With the trade war between the world’s two biggest economies showing little signs of abating, China told tourists on Wednesday to “fully assess the risks” before travelling to the United States.Separately, US Defense Secretary Pete Hegseth warned against Chinese “threats” as he visited Panama, whose canal is at the center of a row between Beijing and Washington.burs-oho/hmn

Papua New Guinea will “immediately” lift a ban on forest carbon credit schemes, the Pacific nation’s climate minister told AFP on Thursday, opening up its vast wilderness to offset global emissions.The island of New Guinea is cloaked in the world’s third-largest rainforest belt, helping the planet breathe by sucking in carbon dioxide gas and turning it into oxygen. Foreign companies have in recent years snapped up tracts of forest in an attempt to sell carbon credits, pledging to protect trees that would otherwise fall prey to logging or land clearing. But a string of mismanagement scandals forced Papua New Guinea to temporarily shut down this “voluntary” carbon market in March 2022. Environment Minister Simo Kilepa told AFP that, with new safeguards now in place, this three-year moratorium would “be lifted immediately”. “Papua New Guinea is uplifting the moratorium on voluntary carbon markets,” Kilepa said. “We now have carbon market regulations in place and… guidelines to administer and regulate the carbon market.” Papua New Guinea has ambitions to become a “key player in international carbon markets”, officials from the national climate body told a briefing last week. Carbon credit schemes are seen as a crucial tool in halting the destruction of Papua New Guinea’s steamy rainforests, which are thought to shelter around seven percent of global biodiversity. Before the 2022 moratorium, foreign-backed syndicates were able to sign carbon credit deals directly with village elders. In essence, they paid landowners so that tracts of rainforest would not be cleared for crops, sold for mining, or chopped down and turned into logs. By protecting jungle that would have disappeared, these companies generated carbon credits they could sell on international markets. – ‘Carbon cowboys’ -The scale of some proposals was immense — one carbon trading scheme to be based on Papua New Guinea’s northern coast would have ranked among the biggest in the world, according to Carbon Market Watch. But Papua New Guinea’s carbon market was mired in controversy, with one regional governor alleging some foreign firms were little more than “carbon cowboys” out to make quick cash. An investigation by Australian national broadcaster ABC alleged logging was still taking place in rainforests set aside for carbon credits. And some landowners complained the lucrative promises of their foreign partners went largely unfulfilled. “Attempts to establish projects have resulted in land disputes and the emergence of ‘Carbon Cowboys’,” wrote Australian environmental consultants Sustineo. Carbon credit schemes around the world have been marred by a litany of similar complaints.No common set of rules governs these trades, and many projects have been accused of selling essentially worthless credits.Governments often force heavy polluters to offset emissions through mandatory carbon credit schemes.But firms, charities and individuals can also choose to buy credits on so-called voluntary carbon markets. Papua New Guinea’s voluntary scheme falls under an international framework known as REDD, or reducing emissions from deforestation and forest degradation in developing countries.Papua New Guinea has been hammering out a bilateral deal which could see it produce carbon credits for city-state Singapore. In 2023, Papua New Guinea signed a memorandum of understanding with Dubai-based firm Blue Carbon, which has been securing swaths of land across Africa for carbon credits. 

Sipping tea on her break outside a Samsung Electronics factory in northern Vietnam, worker Nguyen Thi Mai said she had heard about US President Donald Trump’s tariffs, but hoped it would not affect business.Samsung, the world’s second-largest phone maker, produces around half of its handsets in Vietnam, and Trump’s threat to impose a 46-percent tariff threat on the country sent shockwaves through the South Korean giant’s supply chains.”We don’t understand much about macro issues,” 27-year-old Mai told AFP, adding that daily life inside the factory in Bac Ninh province was unaffected, despite global market whiplash from on-again-off-again US levies.”Our work goes on normally,” agreed Le Van Binh, 30, adding that he hoped the Vietnamese government would be able to work out a deal.”Our top leaders are arranging to negotiate with the United States. I hope they can be successful and things will be good for all of us.”Samsung turned to Vietnam because labour costs are “about one-tenth of those in South Korea”, Kim Dae-jong, a professor at Sejong University, told AFP.But US tariff threats — even after Trump abruptly paused them on Wednesday — are now shaking the logic that has underpinned decades of rapid growth and manufacturing investment in developing Asian economies, he said.If Samsung “fully absorbs” the proposed tariff cost instead of shifting production elsewhere “approximately four trillion won ($2.7 billion) — or some 33 percent of its smartphone operating profit — would be directly exposed”, said Kim Dong-won, managing director at KB Securities.Samsung has built up inventory, and this week forecast record results for the first quarter of 2025. And there is scope for negotiations between Hanoi and Washington, he said — but even so, it is concerning.- ‘Reallocating production’ – If Trump does follow through, Samsung and fellow South Korean giant LG, which has also invested heavily in Vietnamese factories, may have no choice but to shift their investments to the United States, said Kang In-soo, an economics professor at Sookmyung Women’s University.”Despite the additional costs involved, this appears to be an inevitable decision to maintain or expand their presence in the strategically important US market,” he said.For Samsung, high-end televisions are their key driver of revenue stateside, Yong Seok-woo, president and head of the visual display business at Samsung Electronics told reporters.”Most of the TVs sold in North America are produced in Mexico,” said Yong, which dodged Trump’s latest round of tariff threats — potentially leaving Samsung in a better position than many rivals.”We have 10 production sites worldwide,” Yong added.”We plan to overcome these challenges by reallocating production based on tariff conditions.”- Domestic base? – The tariff threats appear to be aimed at securing additional foreign investment, but with the United States lacking a strong domestic base to produce the high-end chips that are the lifeblood of the global economy, many experts expect they will not last in the longer term.Trump’s decision to pause the imposition of the levies sparked euphoria on global markets on Thursday — but he raised tariffs on China to 125 percent because of a “lack of respect”.Apple, Samsung’s chief rival, produces the bulk of its iPhones in China.Sky-high tariffs “could impose substantial costs on US-based semiconductor consumers”, said Kang of Sookmyung Women’s University, with the fear of price increases already sparking iPhone panic buying.However, “it is expected that the tariffs will be adjusted downward once a sufficient level of investment is secured”, Kang added.Samsung’s exposure underscores the broader vulnerability of export-driven Asian economies.In 2024, net exports accounted for more than 90 percent of South Korea’s total economic growth.The country has been particularly ill-prepared to face the economic headwinds, having been effectively leaderless since December, when impeached former president Yoon Suk Yeol declared martial law.Officials are scrambling to contain the fallout: Acting leader Han Duck-soo spoke to Trump this week, with the trade minister also flying to Washington for emergency talks.The government announced a battery of support measures for South Korea’s beleaguered car makers on Wednesday — hit by sector-specific 25 percent tariffs — but they need to do more to help the country’s export-focused conglomerates, experts said.Seoul must “focus on a proactive response to US tariff measures and swiftly implement a supplementary budget to stave off a deeper economic downturn”, Kang said.

US President Donald Trump has ramped up his trade war against China, further raising import tariffs on Beijing to 125 percent despite pausing them for other countries.The move came hours after China announced reciprocal action against the United States in response to a previous levy hike.AFP looks at how the escalating trade war between the world’s two biggest economies is playing out — and what impact it might have:- What actions has Trump taken so far? -Trump said Wednesday that the US would raise tariffs on Chinese imports to a staggering 125 percent, citing a “lack of respect” from Beijing.The announcement came as the mercurial president announced a halt on tariffs for other nations for 90 days, following panic on global markets.The new levy on China marked the latest salvo in a brewing tit-for-tat trade war between the two global superpowers.A previous round of US tariffs had come into force earlier on Wednesday, jacking up duties on China to 104 percent.As well as the blanket levies, China is also under sector-specific tariffs on steel, aluminium and car imports.- How has China responded? -China has vowed to fight the measures “to the end” and so far has unveiled reciprocal tariffs each time Trump has upped the ante.Responding to the 104 percent duties on Wednesday, Beijing said it would raise its own tariffs on US imports from 34 percent to 84 percent, effective from Thursday.It also said it had filed a complaint with the World Trade Organization (WTO), citing “bullying” tactics by the Trump administration.China had not responded to the latest hike in tariffs to 125 percent levies as of Thursday morning.But its countermeasures have begun to step outside the economic sphere, with government departments warning citizens of the “risks” of travelling to the US or studying in parts of the country.And while Beijing has blasted the US with fiery rhetoric, it has continued to urge “equal dialogue” to resolve the trade spat.Zhiwei Zhang, chief economist at Pinpoint Asset Management, said China had sent a “clear signal” that it would not back down, adding that there was “(no) quick and easy way out” of the conflict.Haibin Zhu, chief China economist at J.P. Morgan, agreed, saying “the bar for a possible deal is high”.- Why is China so vulnerable to tariffs? – Trade between the world’s two largest economies is vast.Sales of Chinese goods to the US last year totalled more than $500 billion — 16.4 percent of the country’s exports, according to Beijing’s customs data.And China imported $143.5 billion in goods from the United States in 2024, according to the office of the US Trade Representative.That trade was dominated by agricultural products, primarily oilseeds and grains, according to the US-China Business Council. Oil and gas, pharmaceuticals and semiconductors are also among major US exports to China.Beijing has long drawn Trump’s ire with a trade surplus with the United States that reached $295.4 billion last year, according to the US Commerce Department’s Bureau of Economic Analysis.Chinese leaders have been reluctant to disrupt the status quo, in part because the country’s export-driven economy is particularly sensitive to vicissitudes in international trade.US duties also threaten to harm China’s fragile post-Covid economic recovery as it struggles with a debt crisis in the property sector and persistently low consumption — a downturn Beijing had sought to slow with broad fiscal stimulus last year.But an intensified trade war will likely mean China cannot peg its hopes for strong economic growth this year on its exports, which reached record highs in 2024.- What impact will US tariffs have? -The head of the WTO said Wednesday that the US-China tariff war could cut trade in goods between the two countries by 80 percent.Given the two economic giants account for three percent of world trade, the conflict could “severely damage the global economic outlook”, Ngozi Okonjo-Iweala said.Analysts expect the levies to take a significant chunk out of China’s GDP, which Beijing’s leadership hope will grow five percent this year.Likely to be hit hardest are China’s top exports to the United States — everything from electronics and machinery to textiles and clothing, according to the Peterson Institute of International Economics.And because of the crucial role Chinese goods play in supplying US firms, the tariffs may also hurt American manufacturers and consumers, analysts have warned.Paul Ashworth, chief North America economist at Capital Economics, said it was “difficult to see either side backing down in the next few days”. But, he added, “talks will eventually happen, although a full rollback of all the additional tariffs… appear unlikely”.

Asian stocks rocketed Thursday as investors breathed a huge sigh of relief after Donald Trump announced a pause on crippling tariffs on US partners, with Chinese markets even brushing off his decision to ramp up duties on Beijing to 125 percent.Equities surged across the board, tracking a blistering performance on Wall Street, after the US president said he would delay for 90 days measures announced last week that set off a firestorm on trading floors and sparked warnings of a global recession.Trump said he would keep in place a basic levy of 10 percent on dozens of countries but upped the ante in his brutal trade war with superpower rival China by hitting it even harder after it retaliated in kind at the weekend.Trump made the decision because he said investors were “jumping a little bit out of line” as markets collapsed and US Treasuries — considered the safest option in times of crisis — were also showing signs of cracking on concerns about the world’s top economy.People “were getting yippy, a little bit afraid”, he added, referring to a term in sports to describe a loss of nerves.The extra tariffs on Beijing, however, were “based on the lack of respect that China has shown to the world’s markets”, Trump said.The president denied he had made a U-turn, telling reporters that “you have to be flexible”.Asian traders welcomed the move, ramping up equities throughout the region.Hong Kong rallied more than four percent — a third day of gains after collapsing more than 13 percent on Monday in its worst day since 1997 during the Asian financial crisis. Shanghai gained more than one percent.The two markets have been given extra support by optimism that Chinese officials will unveil fresh stimulus to support the economy in light of the tariff measures.Official data showing another drop in consumer prices last month added to those hopes.- ‘Fear to euphoria’ -Tokyo’s Nikkei surged more than eight percent, Seoul and Singapore each piled on more than five percent, and Sydney and Jakarta more than four percent.Taipei’s 9.3-percent gain was its best rise on record — after Monday’s 9.7-percent drop represented its worst fall.Shares in Vietnam, which was facing some of the heftiest tariffs, jumped 6.5 percent, while Manila and Wellington were also deep in the green.Tech firms were the standout performers, with Sony, Sharp, Panasonic and SoftBank chalking up double-digit gains, while airlines, car makers and casinos also enjoyed strong buying.Apple suppliers posted blockbuster rallies — Hong Kong-listed AAC Technologies surged 23 percent and in Taiwan, Hon Hai added almost 10 percent.”Asia markets are flipping the switch — from fear to euphoria — as Trump throws a 90-day lifeline, pausing the reciprocal tariff barrage,” said Stephen Innes at SPI Asset Management.”The president’s post nodded to the ‘yippy’ reaction to his historic hikes, and honestly, that sums it up. “We just witnessed one of the all-time bouncebacks — and now, we look for Asia investors, much like their North American counterparts, to step in and buy the ‘yips’.”US Treasury yields also edged down, after a successful auction of $38 billion in notes, said Briefing.com.That eased pressure on the bond market, which had fanned worries that investors were losing confidence in the United States.The tumult caused by Trump’s trade war is also causing a headache for the US Federal Reserve as it tries to decide whether to cut interest rates to protect the economy, or keep them elevated to ward off the inflation many say tariffs will fuel.Minutes from the central bank’s March meeting, released Wednesday, showed members were concerned that “the announced or planned tariff increases were larger and broader than many of their business contacts had expected”. That was before the president unveiled his widespread duties of up to 50 percent on friend and foe — now paused until July.Some decision-makers noted that they “may face difficult tradeoffs if inflation proved to be more persistent while the outlook for growth and employment weakened”, the minutes showed.Oil prices edged down after a much-needed bounce of more than four percent on Wednesday. Still, both main contracts remain under pressure amid concerns about the global economy and its impact on demand.Gold also rallied around two percent, while bitcoin put on more than six percent.- Key figures around 0230 GMT -Tokyo – Nikkei 225: 8.3 percent at 34,353.17 (break)Hong Kong – Hang Seng Index: UP 4.2 percent at 21,108.06Shanghai – Composite: UP 1.6 percent at 3,236.06Dollar/yen: DOWN at 147.00 yen from 147.82 yen on WednesdayEuro/dollar: UP at $1.0970 from $1.0948 Pound/dollar: UP at $1.2825 from $1.2810Euro/pound: UP at 85.54 pence from 85.45 penceWest Texas Intermediate: DOWN 0.6 percent at $61.98 per barrelBrent North Sea Crude: DOWN 0.8 percent at $64.96 per barrelNew York – Dow: UP 7.9 percent at 40,608.45 (close)London – FTSE 100: DOWN 2.9 percent at 7,679.48 (close)

US President Donald Trump abruptly paused tariffs on most countries, sparking euphoria on global markets Thursday, but upped the ante on a brutal trade war with superpower rival China.After days of turmoil, stocks on Wall Street and across Asia saw huge surges in reaction to Trump’s announcement that he was halting a levy hike for almost all nations for 90 days.But Trump also said he was raising tariffs on China to 125 percent because of a “lack of respect.”Trump denied that he had backtracked on the tariffs, telling reporters that “you have to be flexible.””People were jumping a little bit out of line, they were getting yippy, a little bit afraid,” Trump said. “Yippy” is a term in sports to describe a loss of nerves.He said he had been watching the “very tricky” state of the crucial US bonds market before his decision.”I saw last night where people were getting a little queasy,” he said, as US bond yields rose during the stocks sell-off — a major economic red light as American sovereign government debt is normally seen as a safe haven for investors in troubled times.Trump also predicted that trade deals will be made with all countries, including China, which has for now, refused to roll back retaliatory tariffs on US goods.”A deal’s going to be made with China. A deal’s going to be made with every one of them,” Trump said, adding however that China’s leaders “don’t quite know how to go about it.”Trump also said that he “can’t imagine” increasing Chinese tariffs more than he has.- China duel -Markets have been on a rollercoaster ride since Trump’s announcement of sweeping global tariffs one week ago on what he called “Liberation Day” before his dramatic pause on Wednesday.Trump had imposed a 10 percent baseline tariffs on all countries which came into effect on Saturday, and higher rates on key trading partners like China and the European Union that he accused of cheating the United States, which activated on Wednesday.But as markets swayed yet again, Trump said in a surprise announcement on his Truth Social network that “I have authorized a 90 day PAUSE” on the higher tariffs, while the baseline 10 percent would remain.He said that he took the decision after more than 75 countries reached out to negotiate and did not retaliate.Japan — which had been slapped with 24 percent under the so-called reciprocal tariffs — said it welcomed the news but still “strongly” demanded that Washington reconsider other levies on its steel and auto exports.At the same time, Trump ramped up his confrontation with China, which has announced retaliatory tariffs of 84 percent on US imports from 12:01 pm (0401 GMT) on Thursday.Beijing said Washington’s steps pile “mistakes on top of mistakes”.The European Union had earlier launched its own counterattack, announcing measures targeting some US products from next week in retaliation for American duties on global steel and aluminum exports.The 27-nation bloc will hit more than 20 billion euros’ worth of US products, including soybeans, motorcycles and beauty products.But the EU notably did not retaliate against the separate “Liberation Day” tariffs of 20 percent that came into effect on Wednesday.- ‘BE COOL!’ -Wall Street stocks rocketed on Trump’s pause announcement.The S&P 500 surged 9.5 percent to 5,456.90, snapping a brutal run of losses over the past week.Markets in Asia on Thursday also rallied, with Hong Kong, Taipei, Australia and Tokyo surging on opening after days of losses.Stocks in Chinese economic powerhouse Shanghai were also up, despite Trump’s decision to further hike tariffs.And Indonesia’s benchmark stock index rallied nearly five percent higher at the open.Before his pivot, Trump said world leaders were rushing to negotiate “tailored” deals with the United States, with Japan and South Korea among those sending delegations to Washington.”I’m telling you, these countries are calling us up kissing my ass,” Trump told a dinner with fellow Republicans on Tuesday night.Trump believes his policy will revive America’s lost manufacturing base by forcing companies to relocate to the United States.The billionaire former property tycoon has particularly raged against China, accusing it of excess production and “dumping” inexpensive goods on other economies.With the trade war between the world’s two biggest economies showing little signs of abating, China told tourists on Wednesday to “fully assess the risks” before travelling to the United States.Separately, US Defense Secretary Pete Hegseth warned against Chinese “threats” as he visited Panama, whose canal is at the center of a row between Beijing and Washington.burs-oho/tym

Consumer prices in China fell in March for the second straight month, official data showed Thursday, as the world’s second-largest economy struggles to boost spending and a trade war with the United States deepens.The drop comes as Beijing seeks to boost domestic consumption, which has yet to recover to pre-pandemic levels.The consumer price index (CPI) — a key measure of inflation — was down 0.1 percent year-on-year in March, according to data released by the National Bureau of Statistics (NBS).The figure came in slightly lower than expected by analysts surveyed by Bloomberg who predicted the index would remain unchanged.But the index’s decline narrowed from the 0.7 percent drop year-on-year in February.The past two months have reversed the 0.5 percent uptick seen in January, when a surge in spending during the Lunar New Year boosted inflation to its highest rate in months.The prices of food, tobacco and alcohol in March fell by 0.6 percent year-on-year.While deflation suggests the cost of goods is falling, it poses a threat to the broader economy as consumers tend to postpone purchases under such conditions, hoping for further reductions in prices.A lack of demand can then force companies to cut production, freeze hiring or lay off workers, while potentially also having to discount existing stocks — dampening profitability even as costs remain the same.Beijing unveiled a slew of measures to boost the economy last year, including cutting interest rates and cancelling restrictions on homebuying.China’s fragile recovery is also threatened by a trade war with the United States instigated by President Donald Trump, who further raised tariffs on China to 125 percent on Wednesday.”Deflationary pressure is persistent,” wrote Zhiwei Zhang, president and chief economist at Pinpoint Asset Management, in a note.”The policy uncertainty in the US is still elevated,” he added.Premier Li Qiang in March announced a national growth target of “around five percent” for this year — the same as 2024.Many economists consider the goal to be ambitious given the headwinds facing China’s economy.