BEIJING: European companies that export from China are changing the global flow of their goods to avoid higher American tariffs, a business group said Tuesday, in a sign of the spreading impact of the US-Chinese trade war.
Tariff hikes are “hitting immediately the bottom line” of companies that rely on the flow of components and finished goods across countries, said Mats Harborn, president of the European Union Chamber of Commerce in China.
Companies are “scrambling to readjust supply chains” so goods bound for the United States don’t pass through China, Harborn said at a news conference. He said one has shifted final assembly of goods from China to a newly created American unit.
The Trump administration’s 25 percent tariffs on $34 billion of medical equipment, electronics and other goods from China, imposed in a dispute over technology policy, apply to exports made by US or European companies as well as Chinese suppliers.
European governments have criticized President Donald Trump’s approach but have resisted Chinese efforts to recruit them as allies in their dispute.
Tariffs are a “dangerous and very blunt instrument” to settle disputes, Harborn said.
“We share the concerns expressed by the American side,” he said. “But there are better and less risky ways to deal with these problems.”
On Monday, Chinese and German companies including BASF and Volkswagen signed business deals worth 20 billion euros ($23.6 billion) during a visit to Berlin by China’s No. 2 leader, Premier Li Keqiang.
Harborn said a European supplier of environmental technology believed it might have been awarded a Chinese government contract ahead of an American competitor due to its non-US status.
Also Monday, German automaker BMW AG said it would raise prices on US-built SUVs exported China due to higher tariffs.
Beijing’s increases include an additional 25 percent tariff on cars imported from the United States, raising the total charge to 40 percent.
BMW exports SUVs from a factory in Spartanburg, South Carolina, that employs 10,000 people.
European exporters in China shift trade to avoid US tariffs
European exporters in China shift trade to avoid US tariffs
Mawani, Qatar Ports ink cooperation deal to boost regional maritime trade
RIYADH: The Saudi Ports Authority, or Mawani, and Qatar Ports Management Co. signed a memorandum of understanding aimed at boosting maritime and logistics cooperation, contributing to the development of the ports sector, raising operational efficiency, and supporting regional and international trade flows.
The MoU was signed by Mawani President Suliman Al-Mazroua and Qatar Ports Management Co. CEO Abdullah Mohammed Al-Khanji, in the presence of Qatari Ambassador to Saudi Arabia Bandar bin Mohammed Al-Attiyah.
The step reflects both sides’ commitment to building effective partnerships, exchanging expertise, establishing an organized framework for cooperation management, and developing joint investment opportunities in line with Saudi Vision 2030 and Qatar National Vision 2030.
The MoU outlines eight key areas of cooperation, including the exchange of best practices in port management and operations, and studying opportunities for direct maritime and land connectivity between the two countries’ ports to enhance trade efficiency.
It also includes collaboration in logistics services, exploring the establishment of joint maritime corridors serving bilateral and regional trade, and assessing the feasibility of creating shared regional distribution centers.
Both parties agreed to enhance cooperation in digital transformation and artificial intelligence, focusing on smart systems, data governance, and a unified maritime window to improve operational efficiency and remain at the forefront of technological progress in the maritime sector.
The MoU emphasizes maritime safety and environmental protection, including the exchange of expertise on marine pollution control and emergency response, the development of joint maritime emergency plans, and the establishment of a bilateral emergency communication line.
It also promotes collaboration to ensure compliance with international conventions, conduct joint exercises, and implement risk-monitoring systems.
Cooperation further extends to human capital development through joint training programs and on-the-ground expertise exchanges, as well as academic and research partnerships in maritime transport and logistics.
Regarding joint investment, both parties will explore local and international opportunities in ports and related services, coordinating with the private sector to support these initiatives.
The MoU also includes cooperation in cruise tourism through enhanced maritime connectivity and joint promotion of Gulf cruise routes, as well as coordination of positions in international maritime organizations and support for joint initiatives, notably “Green Ports” and “Safe Sea Corridors.”
This memorandum reflects the commitment of Mawani and Qatar Ports Management Co. to advancing the ports sector and boosting its role as a key driver of trade and economic growth, contributing to Gulf integration, and enhancing regional competitiveness in maritime services.
