IMF: US-China trade tensions threaten global economy

Trade tensions and the exchange of tariffs between the United States and China are threatening the global economy, the International Monetary Fund warned on Thursday.

Renewed tensions between the two economic superpowers were hanging over the negotiations that resumed later Thursday and IMF spokesman Gerry Rice repeated his call for a "speedy resolution". Rice told reporters that tensions between the United States and China in the trade sphere are a threat to the global economy, adding that everybody loses in a protracted trade conflict.

The US escalated a tariff war with China on Friday by hiking levies to 25% for 200 billion USD worth of Chinese goods. Beijing has vowed to retaliate.

Chinese Vice-Premier Liu He is meeting US officials in Washington in an attempt to salvage a trade deal between the two countries. President Trump said he received a letter from Chinese counterpart Xi Jinping and that they would probably speak soon.

Source: VOV5