By Reuters
SHANGHAI: Mainland China stocks slipped on Wednesday as concerns lingered over trade relations with the United States, while Nvidia鈥檚 resumption of chip sale to China gave the Hong Kong market a boost.
At the midday break, the Shanghai Composite index was down 0.13% at 3,500.62 points, while the blue-chip CSI300 index lost 0.27%.
U.S. President Donald Trump on Tuesday said the country would fight China 鈥渋n a very friendly fashion鈥.
鈥淚n our base case, we assume that the U.S. tariff rate on China would stay unchanged at 30% 鈥 but the recent escalation of U.S. tariffs on other economies is likely to further dampen global trade momentum,鈥 Morgan Stanley economists said in a note.
鈥淚n particular, the U.S. has started addressing transshipment concerns by introducing a two-tiered tariff structure on imports from Vietnam 鈥 20% for direct imports and 40% for those deemed transshipments from China. If similar measures are extended to other countries, this could further pressure China鈥檚 export performance.鈥
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