Uh-oh. Look out AUD !

  • China's response to Pelosi trip to Taiwan has led Biden administration officials to rethink potential tariff moves
  • Biden administration has set aside, for now, the option of scrapping some tariffs on China or investigating adding more
  • Biden has not made a final decision on tariff issue


Reuters with the report citing unnamed sources.

The reason I say look out AUD is China's response to US moves against its regime has been to bully much smaller US allies, like Australia. China's Communist Party levied, and has kept in place, punitive tariffs on many goods exported to China from Australia. There was some hope the administration in the US would ease back some China tariffs under Biden, but so far that has not been the case. There were also hopes in Australia that the new administration here would see a warming of relations with China and an easing in trade restrictions. This does not appear likely any time soon though. China's ambassador to Australia had this to say just yesterday, amongst comments also relating to China's detention of an Australian political prisoner: