Bangladesh benefits as Trade War takes Hold between USA and rest of the world
Major key Benefits are as follows:
1. China slapped a 25 per cent retaliatory duty on over 100 US goods and commodities, including cotton.
Global commodity prices for cotton have been on a downward trend since then.
The US is one of the largest cotton producers and imposition of tariffs is expected to decelerate the pace of its raw cotton exports.
Bangladesh is the largest importer of cotton. Lower price, higher profit from garment insustries.
2. Bangladesh’s capital market, third-largest in South Asia, turns out to be the latest turf in the strategic rivalry between China and India.
Bourses from both countries are bidding for a 25% share of the Dhaka Stock Exchange (DSE), which is courting foreign investment as part
of its demutualization process. While the DSE board initially approved the Chinese proposal, the country’s financial regulatory commission
appears to be in favor of India’s bid, making it yet another power play between the two Asian giants.
3. China lowered commitments to buy 366,000 metric tons of U.S. soybeans in the season that ends Aug. 31 2018 and cut purchases by 66,000 tons in the following year.
That’s according to U.S. Department of Agriculture data released Friday for the week ended June 28, 2018 About 60,000 tons originally slated for China this
season will now go to Bangladesh and another 60,000 tons to Pakistan.
4. China and Bangladesh has also been on the upswing. Chinese President Xi Jinping visited Bangladesh in 2016 and sealed numerous deals worth almost $15 billion.
5. China will "compel" Saudi Arabia to trade oil in yuan and, when this happens, the rest of the oil market will follow suit and abandon the U.S. dollar as the world's reserve currency, a leading economist told CNBC on Monday, July, 02-2018.
Moving oil trade out of dollars into yuan will take right now between $600 billion and $800 billion worth of transactions out of the dollar. It is a growth plus for China and that's why they want this to happen.
More to come as we follow the market...
Bangladesh benefits as Trade War takes hold
- Written by Super User
- Category: Bangladesh
- Hits: 56037