China drawing up new measures to boost trade amid U.S. tariff war - paper

FILE PHOTO: Flags of U.S. and China are displayed at American International Chamber of Commerce (AICC)'s booth during China International Fair for Trade in Services in Beijing, China, May 28, 2019. REUTERS/Jason Lee

SHANGHAI (Reuters) - China is drawing up new measures aimed at stabilising foreign trade, the official China Securities Journal reported on Thursday, to offset the effects of a bitter trade war with the United States.

The newspaper, run by the Xinhua agency, said several government departments were currently drafting policies and considering revising catalogues specifying what technologies should be imported. They were also looking at expanding cross-border e-commerce and launching new import trade demonstration zones.

Importing new high-end technologies would help promote the “upgrade” and “internationalisation” of China’s economy, the paper said, citing government and industry officials.

China’s economy grew 6.2% in the second quarter of this year, its slowest rate in 27 years, hit by a costly tit-for-tat exchange of tariffs with the United States.

Last week, Washington said it would impose an additional 10% tariff on Chinese products worth $300 billion, starting from Sept. 1.

China has been cutting taxes and reserve rate requirements and local governments are also issuing bonds for infrastructure construction in a bid to stimulate its slowing economy.

Communist Party newspaper The People’s Daily also said in an editorial that the United States was ignoring the needs of its own people as well as the interests of other countries, and warned that China would have to take “necessary counter-measures”.

Reporting by David Stanway; Editing by Sam Holmes