China demands US meeting on tire tariffs

We reported yesterday on China’s unsurprising response to higher US tariffs on Chinese tire imports. Today brings more unsurprising news on the escalation of the trade dispute: China has accused the US of trade protectionism and is demanding that the US meet for talks at the WTO to resolve the issue. As it is, Chinese officials are saying the employment of 100,000 Chinese workers would be "affected" by the higher tariffs. It is no secret that domestic stock markets have been "affected" – in a rather more positive sense – by the rush of new bank loans this year. Exactly how big the effect has been is open to debate, but it’s clearly enough to get the China Banking Regulatory Commission worried. The regulator is reportedly offering helpful reminders to investors in Beijing, Shanghai and Sichuan that their loans intended for short-term bill financing are intended for short-term bill financing, not betting on stocks. Misused loans aside, the markets seem healthy enough that companies are continuing to line up for domestic IPOs. The latest: China International Travel Service, which hopes to raise money for expansion, as well as upgrading existing facilities.