Is China indirectly exporting to the US? The US has boosted imports from Vietnam to make up for reduced trade from China but the country is heavily reliant on Chinese inputs for much of its exports, Reuters reported on Thursday, citing data confirmed by the World Bank and supply chain experts. Chinese exports to Vietnam now match almost exactly China’s exports to the US in terms of value over the past few years. “The surge in Chinese imports in Vietnam coinciding with the increase in Vietnamese exports to the US may be seen by the US as Chinese firms using Vietnam to skirt the additional tariffs imposed on their goods,” lead economist at BMI Darren Tay told the newswire.

REMEMBER- The US went on the offensive in the trade war with China last week announcing a raft of tariff increases on USD 18 bn worth of Chinese imports that will each begin taking effect between 2024 and 2026. Biden has his eyes set on green tech, deciding that tariffs on Chinese EVs will quadruple to 100%, those on lithium-ion EV batteries to more than triple to 25%, those on solar cells to double to 50%. And he hasn’t forgotten about semiconductors, as tariffs on chips from the world’s second biggest economy are set to double to 50%.

Ukraine launched 62 drones attacks into Russian regions forcing an oil refinery in the southern part of the country to shut down operations, Reuters reports. Six drones reportedly crashed into the area where the oil refinery is located in Slavyansk. The attacks are the latest in a long string of incidents where each country has targeted the other’s energy facilities. Russian missiles recently struck power facilities in Ukraine, damaging four out of six thermal power plants that belonged to DTEK, Ukraine’s largest privacy electricity firm.

OTHER STORIES WORTH KNOWING THIS MORNING-

  • Indonesia revises import rule to release containers stuck at port: Indonesia has updated an import restriction in a bid to release thousands of containers held up at its ports. The country has removed permits for cosmetics, bags, and valves as well as technical licenses previously needed for electronic shipments. (Bloomberg)
  • Boeing shareholders re-elect CEO to board: Boeing shareholders have voted to retain outgoing CEO Dave Calhoun on the company's board. Calhoun assured investors that the firm is on the right path amid the current safety crisis. (CNBC)
  • Maersk inaugurates new cross dock facility: Maersk has inaugurated a specialized cross dock warehouse at its Maasvlakte II terminal in Rotterdam to help facilitate the flow of cargo arriving from the Benelux, Germany, and France. Once unpacked, the cargo can be transloaded to trucks and dispatched to its final destination within hours. (Press release)
  • Omoda + Jaecoo UK tap DHL Supply Chain for UK warehousing: DHL Supply Chain has been appointed by Chinese car manufacturer Chery Automobiles Omoda and Jaecoo UK to provide warehousing for spare parts, accessories, components including batteries for electric and hybrid vehicles. (Press release)
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