Senior Labour figures call for review of Chinese investment in UK infrastructure

Government’s rapprochement with Beijing may risk national security in wake of British Steel crisis, party members say

Senior Labour figures have urged the government to review Chinese investment in UK infrastructure in the wake of theBritish Steel crisis, warning that a rapprochement with Beijing could risk national security.

Government officials insisted on Monday the country remained open to funding from Chinese companies even after a dramatic weekend during which ministers wrested control of the Scunthorpe steelmaking plant from the Chinese owners, Jingye.

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Another UK government is doing contradictory things when it comes to China

Approach to expanding trade has been castigated for allowing Beijing to invest heavily in vital UK infrastructure

As even Donald Trump was forced to accept in scaling back his latest tariffs, China is just too big to ignore. And so it is, on a much smaller scale, that yet another UK government is doing several contradictory things at once when it comes to Beijing.

This weekend brought a particularly resonant example. On the one hand, the business secretary, Jonathan Reynolds, was hinting that British Steel’s Chinese owner, Jingye, was to blame for neglect – if not worse – over the fate of the threatened blast furnaces at Scunthorpe.

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UK politics: No 10 ‘confident’ on securing supplies to keep Scunthorpe furnaces burning – as it happened

PM’s spokesperson says ships carrying materials needed by the steel plant have docked in Lincolnshire

Also on the morning media round today was shadow business minister Harriett Baldwin, who endured a torrid time on Sky News while being repeatedly pressed to acknowledge any culpability for the British Steel crisis by the previous Conservative administration that sold the company to current Chinese owners Jingye in 2019.

The MP for West Worcestershire was told the appearance was “a wonderful opportunity for you here right now, with our viewers on Sky News, to say, look, it was a mistake. We understand that, and we support the government. Do you want to do that this morning?”

Well, I think that, you know, I know that it was looked at very rigorously at the time. It was welcomed by the unions. And I think we need to recognise that 2025 is very different from 2019. And we need to focus on the future of this critical national infrastructure in this industry in our country.

I think it’s always got to be a last resort. But, you know, there was a period when the government owned it, before Jingye came in, and so I think you should never have anything off the table, but I think that does need to be a last resort.

It was a deal that was welcomed by the unions and local communities at the time. So can we put that in the past and focus on the future of this critical industry.

I think there’s a general consensus. If you hear the chancellor today talking about investment in our infrastructure, she’s always looking for partnerships with private equity capital. She’s looking for your pension and my pension to be investing in some of these infrastructure.

I think there is always going to be a role for private capital in all of these organisations. And I think it means that there’s less competition in terms of financing for the schools, for the hospitals, which do require exclusive public funding.

These situations are different, which is why this interventionist UK government has an industrial strategy that matches solutions to the problems at hand.

I would contrast the speed with which they [the SNP] can take to social media and take to the airwaves to air their grievances and the speed at which they move to secure Scottish jobs.

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Sky-high US-China tariffs are a mutual trade embargo that will hurt both sides

Effects could tip one into recession and undermine other’s fragile economy but prospects for rapprochement are not hopeless

Sky-high tariffs that now hang heavily over US-China trade mean, effectively, that they have declared a trade embargo on each other, normally an act of war. The economic consequences for both will hurt.

The US’s $150bn (£113bn) or so of exports to China will fall away quickly, while China’s $440bn worth of exports to the US may drop by up to 75% over the next 18 months, unless some sort of negotiation happens. No one will be spared the effects.

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‘No winners’ in a trade war, says China’s Xi as he heads to Vietnam on charm offensive

Xi Jinping expected to present China as reliable partner in contrast to US, which imposed – then suspended – tariffs over 40% on some countries

The Chinese president, Xi Jinping, warned there would be “no winners” in a trade war and that protectionism “leads nowhere”, as he began a three-nation trip to south-east Asia, starting in Vietnam on Monday.

Xi’s tour, which started in Hanoi, also includes rare visits to Malaysia and Cambodia and will seek to strengthen ties with China’s closest neighbours amid a trade war that has sent shock waves through global markets.

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‘The sky won’t fall’: China plays down Trump tariff risks as stock markets rally

Chinese customs official says trade has diversified away from US in recent years and plays up its ‘vast domestic market’

China has played down the risk of damage to its exports from Donald Trump’s tariffs, with an official saying the “the sky won’t fall”, as stock markets rose on Monday amid signs of a retreat on electronics restrictions.

The world’s second-largest economy has diversified its trade away from the US in recent years, according to Lyu Daliang, a customs administration spokesperson, in comments reported by state-owned agency Xinhua.

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UK MP refused entry to Hong Kong accuses China of ‘hidden blacklist’

Wera Hobhouse says her apparent presence on secret list of critics of country’s human rights record made her a target

A Liberal Democrat MP refused entry to Hong Kong to see her young grandson has said her experience should be “a wake-up call for any parliamentarian”, given that it seems to show China holds a secret list of banned politicians.

Wera Hobhouse, who was turned back by officials on Thursday, said she was given no explanation as to why this happened, and could only assume that it was because she had spoken out about rights abuses by China.

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Hedge fund billionaire says US may face ‘worse than a recession’ from Trump tariffs

Ray Dalio’s comments come after rocky week across stock markets after policies including 145% tariff raise on China

Billionaire investor Ray Dalio said that he is worried the US will experience “something worse than a recession” as a result of Donald Trump’s trade policies.

Speaking to NBC’s Meet the Press on Sunday, the 75-year-old hedge fund manager said: “I think that right now we are at a decision-making point and very close to a recession. And I’m worried about something worse than a recession if this isn’t handled well.”

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US stock markets expected to recover after Trump drops tariffs on mobiles

Exemption, seen as a climbdown, includes laptops and chips, and is likely to help firms such as Apple and Nvidia

US stock markets were expected to stage a recovery on Monday after Donald Trump excluded imports of smartphones and laptops from his tariff regime late on Friday night.

Shares in Apple and chip maker Nvidia were on course to soar after tariffs on their products imported into the US were lifted for 90 days.

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UK could target parts of Chinese state under new foreign influence rules

Exclusive: Government is weighing up security concerns against economic benefits of closer ties with Beijing

The government could target parts of China’s security apparatus under new foreign influence rules, the Guardian has learned.

Ministers are considering including parts of the Chinese state accused of interference activities on the enhanced tier of the foreign influence registration scheme (Firs).

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Xi Jinping seeks to strengthen economic ties during tour of south-east Asia

President’s first stop is Vietnam as China urges US to end trade war and return to ‘right path of mutual respect’

The Chinese president, Xi Jinping, will visit Vietnam on Monday as he begins a tour of south-east Asia where he will seek to strengthen ties with neighbouring countries amid an escalating trade war.

Xi will visit Vietnam from Monday before travelling to Malaysia and Cambodia, a high-profile tour that Chinese officials have described as being of “major importance”.

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Trump administration to exempt smartphones and computers from tariffs

Announcement says tariffs – including those imposed on China – will also not apply to other electronic devices

Donald Trump’s presidential administration has exempted smartphones and computers from the 125% levies imposed on imports from China as well as other “reciprocal” tariffs, which experts had cautioned might cause electronic consumer prices to spike dramatically in the US.

The announcement was made late on Friday in a US Customs and Border Protection (CBP) notice that said the devices would be excluded from the 10% global tariff that Trump recently imposed on most countries, along with the much heftier import tax on China.

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Chaos in China as cold vortex from Mongolia brings strongest April winds in decades

Flights cancelled, train services suspended and tourist attractions closed as weather service says wind speeds could surpass records set in 1951

Strong winds caused havoc in Beijing and parts of northern China on Saturday, forcing hundreds of flights to be cancelled, attractions to close and rail lines to be suspended, state media said.

The powerful winds stemmed mainly from a cold vortex system formed over Mongolia that was moving east and south, sweeping across northern China from Friday and through the weekend, the China Meteorological Administration (CMA) said.

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Did Trump’s tariffs kill economic populism?

Lasting damage has been done not only to Trump’s political credibility but to globalisation as a system

At the beginning of this helter-skelter week, Downing Street was declaring globalisation not only dead but a failure. Now, only five trading days later, the autopsy is still under way but the victim may instead be economic populism, strangled by Wall Street, the citadel of globalisation. Donald Trump’s so-called liberation day may in fact have been the anti-globalist’s entombment day.

In an effort to deny even a tactical retreat, Trump’s aides insist the White House goal all along was not to weaken globalism, or even to protect the US economy with tariffs, but instead to get into a negotiation to lower tariffs around the world and to punish China. As cover stories go, it is hardly credible, partly because the tariffs were repeatedly lauded by Trump as a macroeconomic revenue-raising measure, or a means to bolster US manufacturing.

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Tesla stops taking orders in China for two models imported from US

Carmaker removes ‘order now’ buttons for Model S saloon and Model X SUV on its Chinese website amid tariffs war

Tesla has stopped taking orders in China for two models it previously imported from the US, as companies scramble to adapt to prohibitive tariffs imposed in Donald Trump’s trade war.

The manufacturer, run by Trump’s close ally Elon Musk, removed “order now” buttons on its Chinese website for its Model S saloon and Model X sports utility vehicle.

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China raises US tariffs to 125% as Xi invites EU to team up against Trump ‘bullying’

Chinese leader canvasses Spain and other trading partners on how to tackle economic fallout as market turmoil continues

China has raised its tariffs on US products to 125% in the latest salvo of the trade dispute with Washington, just hours after Xi Jinping said there were “no winners in a tariff war”.

Xi made the comments during a meeting with the Spanish prime minister in which he invited the EU to work with China to resist “bullying”, part of an apparent campaign to shore up other trading partners.

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Will global climate action be a casualty of Trump’s tariffs?

Clean energy investors likely to pull back from US, but other countries may seize opportunity to speed transition

Donald Trump’s upending of the global economy has raised fears that climate action could emerge as a casualty of the trade war.

In the week that has followed “liberation day”, economic experts have warned that the swathe of tariffs could trigger a global economic recession, with far-reaching consequences for investors – including those behind the green energy projects needed to meet climate goals.

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Taiwan charges Chinese captain with damaging undersea cables

Taiwan launches first such prosecution, alleging the captain of the Chinese-crewed Hong Tai 58 dropped anchor near an undersea cable that then damaged it

Prosecutors in Taiwan charged, for the first time, a Chinese ship captain with intentionally damaging undersea cables off the island in February, after a rise in sea cable malfunctions alarmed Taiwan officials amid tensions with China.

Prosecutors say the man was captain of the Chinese-crewed Hong Tai 58, registered in Togo, which Taiwanese authorities detained after suspecting the ship had dropped anchor near an undersea cable off southwestern Taiwan, allegedly damaging it.

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China and North Korea aid to Russia poses security risk in Indo-Pacific region, says top US commander

Beijing and Pyongyang are aiding Russia in its war against Ukraine, and Moscow in turn is assisting their militaries

The top US commander in the Pacific has warned senators that the military support that China and North Korea are giving Russia in its war on Ukraine is a security risk in his region as Moscow provides critical military assistance to both in return.

Adm Samuel Paparo, head of US Indo-Pacific Command, told the Senate armed services committee that China has provided 70% of the machine tools and 90% of the legacy chips to Russia to help Moscow “rebuild its war machine”.

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Will Trump’s tariff chaos be China’s gain in global trade wars?

As China retaliates against tariffs, it is also making strategic manoeuvres on EU and Asia to maximise opportunities

On the basis of Napoleon’s dictum “never interrupt your enemy while they are making a mistake”, there was a large incentive for China to do precisely nothing as Donald Trump displayed his determination to lose friends and induce market panic. Indeed, the Chinese advocates of passivity cited a social media meme attributed to President Xi Jinping: “Do nothing. Win.”

Initially it was tempting for China to sit back and watch the US’s former allies recoil at Trump’s disruptive war on globalisation and let them realise that, by comparison, China represented an oasis of stability, modernity and predictability.

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