|
 |
EconNews Online is South-Western's service to provide summaries of the latest economics news stories. Review the brief summaries and, for stories of interest, select the full summary. |
| INTERNATIONAL TRADE | |
| Title | Brief Summary |
|
|
Japan and India are very much different in the cultures but may be united by international trade. Prime Minister Shimzo Abe of Japan will meet with Indian Prime Minister Manmohan Singh to discuss economic relationships that might benefit both countries. They are being brought together by the growing influence of China on the Asian economies. (Updated September, 2007) |
|
|
There are some signs that the U.S. trade deficit may have some relief in sight. The trade gap is still growing but by a slower rate for 2007 than for 2006. With the dollar weaker against major foreign currencies American exports are cheaper and sales growth in overseas markets should be robust this coming year. (Updated August, 2007) |
|
|
The Doha round of Negotiations by the World Trade Organization are aimed at lowering trade barriers around the world in an effort to increase free trade between countries of varied prosperity. Representatives from developing countries believe the U.S. offer to lower subsidies and tariffs are not enough. (Updated July, 2007) |
|
|
Recently, the Supreme Court ruled that price floors were not automatically illegal, thus rescinding a 96 year old law restricting their use. Why did they do this? (Updated July, 2007) |
|
|
As a result of increasing exports the U.S. trade deficit with the rest of the world is falling. The trade gap which hit 765.3 billion in 2006 could gradually begin to decrease as a result of the growing trend of higher exports which promise to add jobs in the U.S. (Updated June, 2007) |
|
|
Increasing pressure from Congress has led the Bush administration to file official complaints with the World Trade Organization. The complaints stem from continued and widespread violations trademarks and copyrights and unfairly limiting the importation of certain journalistic and artistic items to state-owned companies. (Updated May, 2007) |
|
|
The American market has long been a target for goods manufactured in China. And, with American willingness to buy, the trade gap between China and the U.S. has grown to record proportions. Now it seems that Beijing may be trying to lessen Chinese dependence on American markets. (Updated May, 2007) |
|
|
The various players in the political arena are often on opposite sides of proposed trade deals with other countries. Recent developments seem to have some proposals that are favored on both sides of the isle and even supported by organized labor. (Updated April, 2007) |
|
|
The Chinese economy continues to soar and their trade surplus with the rest of the world continues near a record pace. The latest figures show that the country's February trade surplus nearly tied a record that was set in October of 2006. (Updated April, 2007) |
|
|
For the fifth year in a row, the U.S. trade deficit crashed through its previous record. As reported by the Commerce Department, the 2006 trade deficit with the rest of the world was $46.9 billions dollars greater than in 2005. (Updated March, 2007) |
|
|
The Japanese central bank doubled short-term interest rates by increasing the already low 0.25 percent rate to 0.5 percent. The extremely low interest rates in Japan have caused investors to look else where for higher returns. This flow of yen out of the Japanese economy is referred to as the yen carry trade. (Updated March, 2007) |
|
|
In the waning days of the Bush administration the United States is working with South Korean officials on a free-trade agreement. Success would give Washington its biggest trade deal since the North American Free Trade Agreement. (Updated February, 2007) |
|
|
Treasury Secretary Henry M. Paulson Jr. is preparing for a trip to China in an effort to convince China to let it currency (yuan) to fall against the dollar. Representing the Bush administration, he hopes to make American exports to China less expensive and imports from China more expensive. (Updated January, 2007) |
|
|
Most of the 13-year-old tariffs and duties on high grade steel were revoked by federal trade regulators in December. The barriers to trade were an effort to stop the dumping of low-priced imports that placed a great burden on U.S. steel makers in the 1990's. (Updated January, 2007) |
|
|
The U.S. Commerce Department reported a record trade deficit for August-a reading that reached a whopping $69.9 billion--setting a new record for the ever-growing disparity between the value of what Americans buys from other countries and the value of goods and services that we are able to sell overseas. (Updated November, 2006) |
|
|
China's booming economic success has pushed Chinese exports to record highs-but at the same time, the Chinese stance monetary stance has created an impression that the European Union-Chinese trading relationship is not genuinely reciprocal. Some E.U. members want free trade with China, while other European countries are talking more and more about erecting new trade barriers. (Updated November, 2006) |
|
|
In a strategy to keep their exports cheaper and imports more expensive, the Chinese government continues to keep its currency artificially low relative to the U.S. dollar. The Chinese monetary stance is generating increasingly protectionist sentiment from the United States and China's other trading partners. (Updated October, 2006) |
|
|
China's recent foreign aid projects to help its poorer neighbors will benefit China too. By funding infrastructure projects in remote places that other lenders won't touch, China is providing a base for increased future trade. (Updated October, 2006) |
|
|
France and Germany led the European Union to its fastest quarterly growth rate since the year 2000. The good news to economic analysts is that the growth appears to be led by strong domestic demand. (Updated September, 2006) |
|
|
Lower economic growth in the United States and faster growth in major industrial nations in Europe and Asia have combined to produce a narrowed U.S. trade gap. The American deficit is expected to decline further as foreign consumers and businesses buy more goods from the U.S., while Americans will spend less on foreign imports because of the U.S.' softening economy. (Updated September, 2006) |
|
|
As China continues to do what they do best-manufacturing goods using its vast labor resources, their economy has grown by leaps and bounds. The country has taken advantage of its relatively cheap labor to emerge as one of the world's leading manufacturing economies. (Updated August, 2006) |
|
|
The Group of Seven is an amalgamation of the world's major industrial countries that meet periodically to address international economic and monetary issues. Some observers speculate that the group should be enlarged. (Updated July, 2006) |
|
|
The U.S. trade deficit was slightly wider in April than in March, 2006. However, if consumers begin to spend less and the economy slows, some economists expect the gap between exports and imports to bottom out or even contract in the coming months as non-oil imports decrease by more than the additional spending on higher priced oil. (Updated July, 2006) |
|
|
India, a country known for its vast labor resources for developed countries to outsource services through call centers and software campuses, is now building a manufacturing base as well. This new strategy will allow India to take advantage of its comparative advantage in labor resources in yet another way. (Updated June, 2006) |
|
|
When we think of outsourcing business services, our thoughts turn immediately to India and other parts of the Asian sub-continent. Call American Express, and you're likely talking with someone half a world a away. Since Indians work for much lower wages than American or European workers, it has been cheaper to hire people from India for such tasks. Soon, that may no longer be the case. (Updated May, 2006) |
|
|
China's trade surplus with the rest of the world continues to grow rapidly. Official figures from China indicate that its trade surplus surged upward again in March, reaching $11.9 billion, the second-highest monthly surplus for any country in history. (Updated May, 2006) |
|
|
Chinese President Hu Jintao reported recently that his country's economy was 10.2 percent larger in the first quarter of this year than it was a year ago. Most economists would agree that such growth is likely to continue into the foreseeable future because of China's currently strong comparative advantage: its huge labor resource. (Updated May, 2006) |
|
|
The U.S. reports another surge in its trade deficits with China and with the rest of the world. The U.S.'s continually enlarging trade gap creates economic tensions between America and China as more politicians and trade negotiators seek ways to reduce the U.S. trade deficit. (Updated April, 2006) |
|
|
Dubai, the capital of the United Arab Emirates, has long been a safe haven for U.S. businesses, with its fully developed infrastructure and relatively pro-Western stance about facilitating U.S. trade within the Middle East. The Bush Administration currently re-examined a proposal from a Dubai company to operate some of America's ports. As this political hot potato made its way around Washington, many executives from unrelated businesses were quietly lobbying in Washington in favor of the deal. (Updated March, 2006) |
|
|
The U.S. trade deficit hit a record high in October. The expanding trade deficit is threatening to hamper U.S. economic growth in the months ahead. American spending is fueling aggregate demand abroad at the expense of other countries buying U.S. products. (Updated February, 2006) |
|
|
The United States, Britain and Germany were once the kings of steel, dominating worldwide production. They were dethroned by Japan in the 1970s. There’s about to be a new king...China. (Updated February, 2006) |
|
|
The U.S. trade deficit with China grows currently at about 30 percent per year. China’s economy continues to grow rapidly, based on its relatively inexpensive exports, while American exports to China remain low. (Updated December, 2005) |
|
|
Trade ministers from around the world met in London and Geneva to rescue plans for a global trade pact that has reached an impasse over agricultural issues. The negotiations highlight the reasons why countries trade with each other in the first place and the reasons why many countries become protective of their own production of goods and services. (Updated December, 2005) |
|
|
The recently imposed European import quotas on Chinese textiles turned out to have serious consequences. The European Union Trade Commission has called a meeting in Beijing to renegotiate the quotas. (Updated November, 2005) |
|
|
The Chinese textiles debate continues as millions of Chinese trousers, T-shirts, pullovers and other items have been effectively blocked from entering European nations. A June import quota system to which China agreed created the blockade. (Updated November, 2005) |
|
|
After a welcome but brief slowing in July, the U.S. trade deficit has grown once again in August. Higher import prices contribute most to the deepening deficit. Analysts agree that the deficit will worsen the months ahead as surging petroleum price kick in. Hurricanes Katrina and Rita severely hampered Gulf Coast petroleum refinery capacity, making the U.S. increasingly dependent on foreign petroleum. (Updated November, 2005) |
|
|
The Chinese economy’s spectacular growth is spreading throughout Asia and even the rest of the world. China’s trading partners are reaping the rewards of Chinese economic growth by enjoying lower prices on many Chinese goods, as well as enjoying new markets for their own goods. (Updated November, 2005) |
|
|
Despite the fact that Canadians are suffering from a slowing economy and a rising dollar, the central bank raised its main lending rate by one-quarter of one percent—the first increase since October 2004. (Updated October, 2005) |
|
|
The U.S. House of Representatives narrowly passed The Central American Free Trade Agreement (CAFTA). President Bush's signature on this Bill creates the largest reduction in trade barriers among Northern and Central American nations in more than 10 years. (Updated September, 2005) |
|
|
The European Commission has unveiled a plan to overhaul its long-standing system of sugar subsidies. The plan could cut sugar prices by as much as 39 percent and result in wide-ranging job cuts and a large drop in sugar production. (Updated August, 2005) |
|
|
China has continuously pegged their currency at 8.277 yuan to the dollar since 1998. China faces increasing pressure from more and more countries to release the peg and maintain a more reasonable controlled floating relationship with the U.S. dollar. (Updated July, 2005) |
|
|
The Chinese government has set new textile export tariffs on its textile manufacturers in a move intended to slow Chinese textile exports to the U.S., thus averting a trade war. The move comes after the U.S. government imposed import quotas on some low-priced Chinese textiles. (Updated July, 2005) |
|
|
The U.S. trade deficit reached its highest figure ever in February. The Commerce Department reported a trade deficit of $61 billion, a rise of 4.3 percent over the January 2005 deficit of $58.5 billion. (Updated June, 2005) |
|
|
The continued rise in oil prices is negatively affecting the European economy. Rising energy prices have slowed economic growth and added to inflationary woes. (Updated June, 2005) |
|
|
Federal Reserve chairman Alan Greenspan suggested recently that the U.S. foreign trade deficit might be poised to stabilize, if not actually to decrease, in the near future. Greenspan was talking to a meeting of finance ministers and central bank governors from the Group of 7 leading industrialized nations. (Updated April, 2005) |
|
|
The U.S. trade deficit reached its highest figure ever in November, 2004. The U.S. Commerce Department reported a trade deficit of $60.3 billion, a rise of 7 percent over the October, 2004 deficit of $56 billion. (Updated March, 2005) |
|
|
Southwest Airlines can fly anywhere it wants, as long as it's not more than one state away from its home airbase. Or so says the Wright Amendment. (Updated February, 2005) |
|
|
While Wal-Mart and other mass retailers have struggled this holiday season, the high-end luxury market has flourished. Bergdorf Goodman's, Nieman-Marcus, Nordstrom's and a variety of high-end boutique retailers are seeing huge sales increases this season. (Updated February, 2005) |
|
|
Helped by a banner year in agricultural output and reduced demand for exports, the Chinese economy continues to experience inflation, but the pace has slowed. Food prices are rising more slowly due to a bountiful harvest in the agricultural sector. In world markets, the demand for Chinese exports has dropped off due to increasing oil prices. (Updated January, 2005) |
|
|
Vietnamese shrimp producers, who farm shrimp in coastal land ponds, have been able to exploit advantages over U.S. shrimpers, who still trawl the oceans for shrimp. The U.S. government may impose tariffs on imported Vietnamese shrimp, arguing that farmers are "dumping" shrimp on the US market at prices below cost. (Updated December, 2004) |
|
|
Under pressure to reduce transportation costs, shipping companies are scanning the globe looking for low-ranked seamen - known as "ratings" - who are willing to work for lower pay and under more extreme conditions than others. Their search is taking them to Southeast Asia and away from Europe, where they had been looking previously. (Updated November, 2004) |
|
|
U.S. shrimp producers are trying to stop the onslaught of imported foreign shrimp by giving U.S.-caught seafood a personality. Florida shrimp has "a distinctive Florida taste," while imported fish has an "iodine-y aftertaste." (Updated October, 2004) |
|
|
Chinese-style capitalism takes a distinctly socialistic perspective, especially when the government thinks that market-based prices are wrong. It sets them itself. (Updated October, 2004) |
|
|
The U.S. trade gap continues to widen as American imports increase and exports decrease. The U.S. Commerce Department marked the June, 2004 deficit at a record $55.82 billion. This figure was 19.1 percent more than the May deficit of $46.88 billion. (Updated October, 2004) |
|
|
Rising energy costs are having a profound impact on many countries of the world. The higher energy prices could easily translate into slower growth and inflation for countries that depend upon foreign oil. (Updated October, 2004) |
|
|
A trade deal fell through at The World Trade Organization conference last year in Mexico. African delegates led a walkout, claiming that rich countries had little interest in making trade fairer for the world's poorest farmers. New meetings will take place in Geneva to seek a world trade deal, and agriculture will be key to sealing the deal. (Updated September, 2004) |
|
|
The U.S. trade deficit
increased to a record $46 billion dollars in March as the strengthening
American economy purchased many more goods and services from foreign nations
than it sold to foreign nations. The news that the economy is improving
is good, but the widening trade deficit brings new concern that foreign
capital--needed to finance the trade deficit--may dry up. (Updated July, 2004) |
|
|
The Japanese economy
appears to be on course for a strong recovery from a recent, long-standing
recession. The past two years have shown slow but steady improvement in
the economy. Leading the charge in the recovery are Japanese consumers who
are spending at the fastest pace in 21 years. (Updated July, 2004) |
|
|
As many critics continue
to highlight the outsourcing of U.S. jobs, foreign companies are increasing
their capital investment in the United States. This "insourcing,"
as proponents are calling it, points out that free trade may not be the
one-way street that some critics have been assuming it to be. (Updated June, 2004) |
|
|
Japan is considered
the world's second largest economy, producing and exporting a huge volume
of products around the world. A report by Japanese officials indicated a
robust growth for the small but productive country of 7 percent (on an annualized
basis) during the fourth quarter of 2003. Much of this growth is due to
increasingly large Chinese demand for Japanese products. (Updated April, 2004) |
|
|
The U.S. hit a record
trade deficit of $489.4 billion in 2003. Economists are worried about possible
effects from the deficit such as further job losses, slower economic growth,
and increased borrowing from foreign investors. (Updated April, 2004) |
|
|
The U.S. current account
ran a deficit of $135 billion in the third quarter of 2003. This deficit
amounts to 4.9 percent of GDP as compared to a record 5.2 percent for the
first quarter of 2004. When a nation occurs such a deficit, expenditures
on imports exceed income from exports and that deficit must be financed.
Coupled with a decline in the dollar against other currencies, European
leaders are voicing their concern. (Updated March, 2004) |
|
|
The Bush administration
is rescinding the tariffs imposed just last year on imported steel. They
argue that the tariffs were intended to be temporary so that the American
steel industry could prepare itself to compete against intense global competition
in the production of steel. Some economists and industry analysts will interpret
this move as a realization that, in the long run, tariffs and other forms
of protectionism will serve only to harm the US economy. (Updated February, 2004) |
|
|
The U.S. trade gap has
widened in recent months due mainly to record imports from China, the European
Union, and Latin America. Although record imports are the simple mathematical
reason for a widening trade deficit, not all analysts place the entire the
blame on the imports. This politically sensitive issue of a widening trade
gap will likely bring new protectionist pressures to bear on Washington,
along with the fears that accompany protectionist legislation. (Updated February, 2004) |
|
|
Federal Reserve Chairman
Alan Greenspan has publicly criticized the Bush administration for their
recent stance against foreign imports. Fearing that protecting American
jobs by limiting imports will raise new risks for the global economy, Greenspan
called for more flexibility in trade agreements with foreign producers. (Updated January 4, 2004) |
|
|
Internal strife in Venezuela,
the world's fifth-largest oil exporter, sent oil prices to their highest
levels in two months. Economists are optimistic about economic growth for
2003, strikes and political unrest in Venezuela that lead to further oil
price hikes may mitigate that optimisms by 2015, saying this proposal would
eliminate about $18 billion in tariffs that consumers currently are paying. (Updated February 5, 2003) |
|
|
With global trade negotiations
due to begin shortly, the Bush Administration has submitted a plan to eliminate
all tariffs on industrial and consumer goods by 2015, saying this proposal
would eliminate about $18 billion in tariffs that consumers currently are
paying. (Updated January 2, 2003) |
|
|
Although the Bush Administration
claims to be a proponent of free trade, there have been a number of instances
where talk and action have diverged. The Administration's actions, critics
claim, are winning votes for the upcoming battle over "fast-track"
trade legislation. (Updated June 1, 2002) |
|
|
Japan's trade surplus
is growing as a result of the falling value of its currency, the yen. U.S.
policymakers believe that the weak yen will help Japan recover from recession
and a healthy Japanese economy will promote global growth. (Updated June 1, 2002) |
|
|
The World Trade Organization
has agreed to allow China and Taiwan to join. China will have to reduce
its tariffs, eliminate subsidies, allow more foreign investment, and abide
by copyright regulations. Increased trade and investment will benefit businesses,
workers, and consumers around the world. (Updated December 1, 2001) |
|
|
The United States signed
an historic trade agreement with Vietnam that will slash American tariffs
on Vietnamese exports and open the world's largest market to Vietnamese
goods. (Updated December 1, 2001) |
|
|
Japan released data confirming
that output of goods and services contracted in the second quarter of this
year. Japan is technically not in recession, since last quarter's gross
domestic product figures were revised to show a slight increase . (Updated October 1, 2001) |
|
|
Two economists, Stephen
L. Parente and Edward C. Prescott argue in "Barriers to Riches," that poor
countries remain poor because of policies established in those countries
that prohibit the adoption of more productive technologies. (Updated July 1, 2001) |
|
|
Less than two months
after an agreement that ended a trade war between the United States and
the European Union (EU) over bananas, the same parties appear to be headed
for another conflict, this time over steel. (Updated July 1, 2001) |
|
|
Free trade has been
one of the top concerns of the last as well as the current administration.
But the pursuit of free trade apparently does not apply to the sugar industry.
(Updated June 1, 2001) |
|
|
Faced with an increased
number of bilateral trade agreements with numerous countries, Brazil has
responded by requiring its diplomats to study economics. Brazil is trying
to avoid the mistakes it made in the early 1990s during negotiations with
the U.S. and European countries. (Updated June 1, 2001) |
|
|
President Bush and leaders
from 33 Western Hemisphere countries gathered in Quebec to discuss a proposal
for the establishment of a Free Trade Area of the Americas (FTAA). Free
trade, it is argued, increases the flow of goods, people and ideas. (Updated May 1, 2001) |
|
|
The new U.S. Administration
may usher in a change in U.S. economic policy with respect to a number of
international issues. Recent world financial crises, the ever-growing trade
deficit, high dollar, competition from the euro, antiquated world financial
structure, and the impact of a U.S. recession on other economies are challenges
that will occupy the Bush Administration. (Updated February 1, 2001) |
|
|
Chiquita Brands International,
the largest and most well known producer of bananas in the world, is threatening
to declare bankruptcy due to the EU's decision to place trade restrictions
on banana imports. The EU quotas have cost Chiquita $200 million a year
since 1992. (Updated February 1, 2001) |
|
|
The EU has petitioned
the WTO to approve more than $4 billion in trade sanctions on U.S. goods
and services, a request based upon an illegal tax break that the U.S. grants
to exporters. (Updated December 1, 2000) |
|
|
The strong U.S. dollar
has raised the price of our exports to foreign countries and lowered the
price of their imports. The steel industry has been hurt especially hard
by the strong dollar and has made a plea to President Clinton to impose
restrictions on the import of foreign steel. (Updated December 1, 2000) |
|
|
Some think that a trade
agreement between a more developed and a less developed economy amounts
to exploitation of the less developed economy's workers. Looking at the
NAFTA's results, we find that exports have grown to nearly a third of Mexico's
$500 billion economy and export growth is responsible for at least half
of the 3 million jobs created since 1994. (Updated October 1, 2000) |
|
|
The U.S. trade deficit
is large and growing larger, causing concern among some economists and policymakers.
Some analysts believe that the trade deficit is the single biggest threat
to the current expansion of the economy. (Updated July 1, 2000) |
|
|
The World Bank and IMF
have proposed allowing some of the poorest African and Latin American nations
to sell their goods to Western industrialized nations without tariffs or
quota. The Clinton administration opposes measures to reduce tariffs because
it could endanger support for its Africa trade bill… (Updated May 1, 2000) |
|
|
Western Hemisphere countries
are attempting to follow the example of the European Union by creating a
detailed framework for a Free Trade Area of the Americas agreement. The
agreement would reduce or eliminate tariffs and other trade restrictions
and open these economies to foreign investment. (Updated January 1, 2000) |
|
|
The Commerce Department
reported that the nation's current account deficit increased by $9 billion
to a record $89.95 billion in the third quarter. The record trade deficit
will likely be a matter of concern for the Clinton Administration, which
has pushed free trade as a matter of national policy. (Updated January 1, 2000) |
|
|
The U.S. trade deficit
hit another record in March - the third month in a row. For the first three
months of 1999, the deficit is running at an annual rate of $222 billion,
which is the highest deficit ever recorded. (Updated July 1, 1999) |
|
|
In spite of the benefits
of trade, protectionist sentiment is growing in part because global competition
and measures to achieve efficiency have sometimes resulted in layoffs and
plant closings. Alan Greenspan, chairman of the Federal Reserve, has entered
the debate, denouncing protectionist pressures. (Updated June 1, 1999) |
|
|
U.S. exports have been
hit hard by Asia's financial crisis and by the devaluations in Russia and
Brazil. Exports to Europe have remained strong, supporting profits for U.S.
companies. There are, however, clouds on the horizon. (Updated April 1, 1999) |
|
|
The turmoil in the
world's financial markets has devalued the currency of a number of nations.
In response, a number of countries have sought to export their way out of
recession and, consequently, have been flooding the U.S. with their goods. (Updated January 1, 1999) |
|
|
The U.S. is threatening
to place prohibitive tariffs on millions of dollars of European products
in retaliation for the European Union's (EU) decision to place trade restrictions
on banana imports. (Updated December 1, 1998) |
|
|
Since the passage
of NAFTA, foreign auto and auto-parts producers have greatly increased their
investments in factories in Mexico. Auto exports from Mexico to the U.S.
have increased markedly. (Updated August 12, 1998) |
|
India Blasted
|
President Clinton, responding
to India's conducting nuclear tests, imposed major economic sanctions on
India. The sanctions halt credit, guarantees or other financial aid by U.S.
governmental agencies.... (Updated May 22, 1998) |
|
|
Japan's economy has
been stagnant and to revive it the ruling Liberal Democratic Party has proposed
a $124 billion stimulus program, which does not include a tax cut proposal. (Updated May 19, 1998) |
|
Ecuador's Economy Heads South
|
Ecuador's economy is
showing signs of distress. In late March, Ecuador's central bank allowed
the sucre, Ecuador's national currency, to be devalued by 6%, a move brought
on by a multitude of problems, including budget deficit and foreign debt. (Updated May 19,1998) |
|
|
President Clinton
has proposed establishing emissions as a commodity that can be traded internationally.
This proposal would be an international extension of a system created domestically
under the Clean Air Act of 1990. (Updated January 15, 1998) |
| Return to EconNews Topic Index | Return to Economics Resource Center |
©1998-2004 South-Western. All Rights Reserved webmaster