Warm reception: Chinese President Xi Jinping
welcoming Prime Minister Datuk Seri Anwar Ibrahim at the Great Hall of the People in Beijing. — SADIQ ASYRAF/ Prime Minister’s Office
Xi Calls for Concerted Efforts to Advance China-Malaysia Ties, Boost All-Around Cooperation
Honoured:
Anwar (second from right) and Xi (second from left) exchanging views at
the Great Hall of the People in Beijing. — Prime Minister’s Office
BEIJING: In their first-ever face-to-face meeting, Prime Datuk Seri Anwar Ibrahim and President Xi Jinping reiterated the strong friendship and trade ties between Malaysia and China, while looking to the future.
In his brief welcoming remarks, Xi said both countries have agreed to build a China-Malaysia community with a shared future.
“This bilateral relationship is a new historical starting point,” he said.
Xi added that he appreciated the fact that despite observing the holy month of Ramadan, Anwar had accepted his invitation to visit China.He said he also took note of the 10th anniversary of the establishment of the Comprehensive Strategic Partnership between both nations this year and the 50th anniversary of the Malaysia-China diplomatic relationship next year.
Hence, he said it is hoped that under Anwar’s leadership, Malaysia and China will work more closely together to bring the relationship to greater heights.
For his part, Anwar said he was awestruck by Xi’s humility.
“He is such a formidable leader on the world stage, a senior world statesman and yet there is so much humility in him.
“He even asked me about our Malaysia Madani concept and about The Asian Renaissance,” he said, referring to his 1996 book.
“The more you learn, the more humble one should become. The wisdom of humility is endless,” Anwar said in his speech after a buka puasa event with Maycham China (Malaysian Chamber of Commerce & Industry in China) here yesterday.
He had earlier called on Xi at the Great Hall of the People.
Anwar urged Maycham China to keep up the good work of promoting Malaysia in the eyes of Chinese businesses and investors. He said promoting collaboration should not just be left to the government.
“It is also very much the work of the private sector itself. That is why everywhere I go abroad, I always make it a point to listen to the business community ... to encourage them to do more.
“This is the only way we can spur more growth,” he added.
Maycham China chairman Loh Wee Keng, in his speech earlier, said the chamber was going the extra mile to further promote trade and business exchanges with Malaysia.
“The gotong royong spirit is well and alive here in China. In Malaysia, we may take some things for granted, but here we take the extra effort.
“That is why our trade with China is thriving,” he added.
Also present at the dinner were the accompanying Malaysian ministers, Ambassador to China and Maycham China patron Raja Datuk Nushirwan Zainal Abidin, and MCA president Datuk Seri Dr Wee Ka Siong.
The Malaysian state of Penang is winning from global investors’ search for safe havens, amid the U.S.-China trade tensions.
Foreign direct investments into its manufacturing sector surged 1,360% to 8.47 billion ringgit (US$2 billion) in the first quarter from a year ago, more than for the entire 2018. The state stands to gain from changes in the global supply chain as it’s well-connected with a strong talent pool and supportive public policies, Penang Chief Minister Chow Kon Yeow said in a Wednesday statement.
The state, already home to companies from Intel Corp. to Dell Technologies Inc., makes up 42% of Malaysia’s manufacturing FDI. Recent investments in Penang include U.S. semiconductor company Micron Technology Inc's new solid-state drive assembly and testing centre, and Florida-based Jabil Circuit Inc's purchase of 20 acres of land to expand its facility.
“Malaysia is reaping benefits from business relocation, as well as trade and investment diversions caused by the trade war,” Finance Minister Lim Guan Eng said in a Thursday statement, adding that the rise in investments as well as industrial production signal “healthy” economic growth in the second quarter.
Chow is wary of the near-term outlook and cautions that the investment surge may not be repeated in the second or third quarters. While some companies benefit from the trade war, others are negatively affected as their customers take a wait-and-see approach, he said. Penang’s investment outlook remains “on the right track” over the medium to long term, Chow said.
The state had moved quickly to court investors amid the trade war, signing a cooperation deal with China Chamber of International Commerce, giving subsidized rental rates for small businesses and setting up a seed fund for technology start ups.- Bloomberg Penang bags big jump in investments
More than RM8bil recorded in the first quarter of the year
Penang Chief Minister Chow Kon Yeow and State
Tourism Development, Arts, Culture and Heritage Committee chairman Yeoh
Soon Hin speaking during a press conference at KOMTAR. - LIM BENG
TATT/The Star
THE state recorded RM8.85bil in total approved manufacturing investments in the first quarter of 2019, exceeding the RM5.78bil it received for the whole of last year.
Chief Minister Chow Kon Yeow said the investments in the first quarter were 768% higher than the investments in the same period in 2018.
“Penang garnered 41 projects at the start of this year,” he said at a press conference held at his office in Komtar.
“They amount to RM8.85bil and will bring in more than 10,000 jobs.
“The state is a key contributor to the country’s foreign direct manufacturing investment (FDI), representing 42% of the country’s total FDI.”
Chow highlighted the many attractions of Penang for investors.
“We boast a robust supply chain, strong talent pool, well-established infrastructure and support services to investors.
‘The combination of all these advantages makes Penang a preferred destination for investments.”
He was quoting the latest data from the Malaysian Investment Development Authority (Mida).
However, Chow was more cautious about the business climate later this year.
He said that while Penang could remain a preferred investment destination in the mid to long run, the US-China trade war would have a huge impact in the coming two quarters of the year.
“We believe the meeting between Presidents Donald Trump and Xi Jinping later this month will be crucial.
“We feel our stellar performance in the first quarter might not be repeated in the second and third quarters of this year.
“Nevertheless, Penang’s investment outlook is on the right track over the medium to long term.
“The state government will continue to focus on bringing in high quality investments that can create high-value jobs and suit the state’s industry profile,” he said.
Penang's approved manufacturing investments rise more than seven-fold in 1Q19
Penang attracted approved investments worth RM8.8 billion in the manufacturing sector in the first quarter (1Q) of 2019, up 763% from RM1.02 billion in the same period last year.
Chief Minister Chow Kon Yeow said despite the intensifying trade and technology disputes between the United States and China that created uncertainties in the global trade and economic outlook, Penang remained a favoured investment destination.
"According to the Malaysian Investment Development Authority (MIDA), from January to March this year, Penang successfully garnered 41 projects amounting to RM8.85 billion, which represented 35% of Malaysia's total approved investments in manufacturing," he told a press conference here today.
The approved manufacturing investments in 1Q19 had already surpassed the full-year approved investment figure of RM5.8 billion in 2018, he said, adding that they were expected to create 10,073 job opportunities in Penang.
Of the total investments approved in the quarter under review, foreign direct investment accounted for RM8.47 billion while the rest was domestic investment, Chow said.
"The optimal combination of robust supply chain, strong talent pool, well-established infrastructure and the state's support services to investors makes Penang a preferred destination for investments," he said.
However, Chow, who is also the chairman of the Penang Strategic Investment Advisory Council, said while Penang could be a preferred investment destination in the middle to long run, he was cautiously optimistic on the near-term outlook due to the latest trade war development.
He said there was a truce in the trade war in 1Q but the situation had worsened since.
"US President Donald Trump has threatened to slap tariffs on another US$300 billion of Chinese exports to the US, and the meeting between Trump and China's leader Xi Jinping later this month is crucial," he said.
He also cautioned that the superb investment performance in the manufacturing sector in 1Q might not be repeated in the second and third quarters; however, Penang's investment outlook would be on the right track over the medium to longer term.
"Through InvestPenang, the Penang government will continue to focus on bringing in high quality investments that would create high value jobs and suit the state's industry profile," he said.- The Edge Market.
Global financial markets are facing a stark wake-up call that they need to unite to stand against acts of what can only be described as economic terrorism by a country which unilaterally imposes its will on others and pursues its own goals at the cost of the interests of others.
More than a year after US President Donald Trump fired the first tariff salvo at China, he is extending the battlefield around the world. On Friday, his administration announced that it will end special trade treatment for India, removing a status that exempts billions of dollars of the South Asian country's products from US tariffs. Trump is seriously mulling slapping tariffs on Mexican imports as he believes the country has taken advantage of the US for decades.
Even close allies cannot trust they will be exempt from Trump's tariff addiction. It was reported that the administration considered imposing tariffs on imports from Australia, but eventually decided against the move amid opposition from his aides, "at least temporarily."
Obviously, Trump, a businessman-turned president, is aiming his trigger finger regardless of the targets, be they US competitors or allies. Trump grumbles about his country subsidizing the world and weakening US industry and pledges to make America great again. But he doesn't realize that a great superpower is supposed to provide public goods rather than resorting to coercion for selfish gains. His tactics are nothing short of economic terrorism.
The International Air Transport Association has estimated that the US-China trade war and high fuel prices will wipe $7.5 billion off expected airline profits in 2019. This is just the figure from the airline industry, which is enough to show the disastrous impact the US-initiated economic terrorism has on the globe. Trump may disrupt the global supply chain with the US' economic clout, but how can a disrupted global supply chain serve the US' strategic objectives of being a great country?
What is worse, before the US becomes great again as the president wishes, he is actually employing the strategy of blocking other countries to take the lead, as we see in his actions in quashing Huawei's 5G advancement.
Later this month, leaders from the world's top economies will meet at the G20 summit in Osaka, Japan to discuss key economic issues that plague the world. The conventional views of globalization and its benefits are still shared by most countries, and many countries and regions are continuing to open their economies. They should unite to face the chaos created by the Trump administration and find a way forward, so the process of globalization will not be held hostage by the US' economic terrorism. - By Zhang Yi
As a civilization that is thousands of years old, China has
always been integrating into the current international system and
taking responsibility to defend the international order after the world
wars and the international rule of law coming into force. At the same
time, China is dedicated to promoting democratization and legalization
of international relations.
Data points to slowing exports, companies warn of ongoing disruption
While 2018 was the year trade wars broke out, 2019 will be the year the global economy feels the pain.
Bloomberg’s Global Trade Tracker is softening amid a fading rush to front-load export orders ahead of threatened tariffs. And volumes are tipped to slow further even as the U.S. and China seek to resolve their trade spat, with companies warning of ongoing disruption.
Already there are casualties. GoPro Inc. will move most of its U.S.-bound camera production out of China by next summer, becoming one of the first brand-name electronics makers to take such action, while FedEx Corp. recently slashed its profit forecast and pared international air-freight capacity.
“Any kind of interference with commerce is going to be a tax on the economy,” said Hamid Moghadam, chief executive officer of San Francisco-based Prologis Inc., which owns almost 4,000 logistics facilities globally. “And the world economy is probably going to slow down as a result of it.”
Financial markets have already taken a hit. Bank of America Merrill Lynch estimates that the trade war news has accounted for a net drop of 6 percent in the S&P 500 this year. China’s stock market has lost $2 trillion in value in 2018 and is languishing in a bear market.
Recent data underscore concerns that trade will be a drag on American growth next year. U.S. consumers are feeling the least optimistic about the future economy in a year, while small business optimism about economic improvement fell to a two-year low and companies expect smaller profit gains in 2019.
Synchronized Slowdown
Global growth is set to decelerate in coming years
https://youtu.be/EaOmPx4sGOw
Source: Organization for Economic Cooperation and Development What Our Economists Say...
For the world economy, the threat of trade war has dissipated, not disappeared. Three risks stand out. First, 90 days of talks between China and the U.S. might end in failure, with higher tariffs following. Second, even without an increase in tariffs, front-loading of exports in 2018 will reduce shipments in 2019. Finally, looking beyond the trade war, early warning signs from PMI surveys to FedEx profit warnings flag a softening of demand.
--Tom Orlik, Bloomberg Economics
The International Monetary Fund forecasts trade volumes will slow to 4 percent in 2019 from 4.2 percent this year and 5.2 percent in 2017. They warn that trade barriers have become more pronounced.
Europe isn’t insulated either. While Germany’s key machinery sector will produce a record 228 billion euros ($260 billion) this year, the trade disputes are among reasons why growth will slow, according to the VDMA industry association. Output will increase about 5 percent in real terms in 2018, the most since 2011, before growth slows to 2 percent next year.
Then there’s the risk of the U.S. placing tariffs on auto imports from Europe and Japan, a move that would damage relations between some of the world’s biggest economies. The arrest of Huawei Technologies Co. Chief Financial Officer Meng Wanzhou illustrates the risk of unexpected developments that can quickly inflame already tense relations.
"‘Trade divergence’ since 2018 and the ‘Tariffs-Limbo’ into 2019 are likely to keep a high degree of uncertainty and continue to have an impact on trade and investment plans," New York-based Citigroup global markets economist Cesar Rojas wrote in a recent note.
The critical question is whether Washington and Beijing can strike a deal by the March 1 deadline. If they succeed, a cloud will be lifted off the world economy. But for now, the threat that tensions will linger is a brake on business expansion plans, and thereby the global economy.
Dippin’ Dots LLC is among those caught in the crossfire. The U.S.-based maker of ice cream and other frozen products spent three years breaking into the Chinese market and opened its first stores in the country this year, only to pay double-digit tariffs on imported dairy products. CEO Scott Fischer said if the U.S.-China talks fail and additional tariffs are added, he’d be forced to rethink strategy, supply chains, and where in the world he expands.
“From an entrepreneur’s perspective, our question is how long will this continue?" Fischer said. “It’s hard to plan business in this environment."
— Bloomberg With assistance by Sveinung Sleire, and Christian Wienberg
China's breakthrough technologies 2018: Year in Review
From the world's longest sea bridge to the homegrown AG600 amphibious aircraft, from the world's fastest bullet train to the energy-saving "artificial sun"... China is emerging as a science and technology powerhouse. Click this video for some of China's breakthrough technologies in 2018.
Chinese
President Xi Jinping (L) meets with Spanish Prime Minister Pedro
Sanchez in Madrid, Spain, Nov. 28, 2018. (Xinhua/Xie Huanchi)
Chinese
and Spanish enterprises have signed ten deals worth 17.6 billion U.S.
dollars during President Xi Jinping's visit to Spain from November 27 to
29.
These deals cover the areas of finance, telecommunication,
environment, machine, vehicle and medicine, hitting a new record of
China-Spain trade and economic cooperation, said the spokesperson of
China's Ministry of Commerce (MOFCOM).
China
and Spain also inked intergovernmental cooperation documents such as a
Memorandum of Understanding in the Third Party Market, Avoidance of
Double Taxation and the Prevention of Fiscal Evasion and Inspection and
Quarantine of Imported Pork Products and so on.
During the visit,
China-Spain Business Advisory Council was formally established and the
first meeting was successfully held, becoming another platform for
deepening bilateral economic and trade relations.
Xi's visit
coincides with the 45th anniversary of the establishment of diplomatic
ties between the two countries, and the two sides have enjoyed excellent
trade relations through all these years.
China is Spain's sixth
largest trading partner in the world and the largest trading partner
outside the EU. From January to September 2018, the bilateral trade
volume hit 25.35 billion U.S. dollars, according to the MOFCOM.
China, Spain pledge stronger BRI ties against protectionism, unilateralism
China and Spain are cooperating in the Belt and Road
initiative (BRI), yielding positive outcomes, and will continue to
leverage the platform to oppose protectionism and unilateralism, Chinese
experts said.
The comments came after a joint statement between
the two countries during Chinese President Xi Jinping's three-day visit
to Spain.
Zhao Junjie, a research fellow at the Chinese Academy
of Social Sciences' Institute of European Studies, told the Global
Times on Thursday that Spain has seen opportunities in cooperating with
China on BRI.
"Although Spain faces pressure from conservatives
who oppose free trade, the two countries' cooperation on BRI will not be
interrupted," Zhao said, citing the freight train between China's small
commodity hub of Yiwu and Madrid as a typical BRI achievement and an
important bridge across Eurasia.
"Trains were not fully loaded
when the line was first launched in 2014, but fully-loaded trains now
depart every day from China," the research fellow said, while stressing
that Spain has a privileged position on the route.
Boosted by
the route, Yiwu's imports from Spain surged 8.82 percent year-on-year to
60 million yuan ($8.6 million) in the first 10 months.
China is
Spain's largest trading partner outside the EU, while Spain is the
sixth-largest trading partner within the bloc for China. Bilateral trade
reached $22.37 billion in the first eight months, up 10.6 percent
year-on-year, according to the Chinese Ministry of Foreign Affairs.
Ding
Chun, director of the Center for European Studies at Fudan University
in Shanghai, told the Global Times that among EU members, Spain has
shown stronger support for the BRI.
Both sides believe the Belt
and Road initiative, as a platform of connectivity, will strengthen
economic, trade and investment cooperation in third-party markets.
The
two countries also stand ready to build synergy between BRI and related
EU strategies, thus offering more mutually beneficial business and
investment opportunities to Chinese and Spanish enterprises.
"On
Spain's side, such cooperation in the third-party markets such as Africa
will alleviate its refugee problem. It would also spark less
geopolitical concerns than China-led projects in Europe," Ding said.
China
and Spain can cooperate on clean energy, including wind and tide
energy, Zhao said, noting that cultural exchanges should also be
strengthened through education, tourism and sports.
"Cooperation with Spain's small and medium enterprises should be given greater consideration," Zhao noted.
"There
are historical and geographic bases for China and Spain to conduct
cooperation on the BRI," Xi said during a meeting with Spanish Prime
Minister Pedro Sanchez on Wednesday, the Xinhua News Agency reported.
Schoolchildren wave the national flags of the Philippines and China
along the route of Chinese President Xi Jinping's convoy at the
Malacanang palace grounds in Manila on Tuesday. Photo: AFP
Chinese President Xi Jinping's state visit to the Philippines from Tuesday to Wednesday has caught international attention.
China-Philippines relations have been one of the most vacillating connections among China and its neighboring countries. During the rule of Benigno Aquino III, bilateral relations were at a low ebb due to frictions over the South China Sea. Incumbent President Rodrigo Duterte changed the Philippines' diplomatic course and brought ties with China back to the right track.
Last year, China surpassed Japan and became the largest trading partner of the Philippines. The two are conducting negotiations over the possible joint exploration of oil and gas in the disputed waters. If they reach an agreement, it could serve as an exemplary model for South China Sea claimant countries.
However, not everybody is happy to see Beijing and Manila set aside disputes and develop friendly ties. Besides obstruction from pro-US factions within the Philippines, some US and Western forces do not want to see rapprochement between China and the Philippines and even pressure the Duterte government to cut relations.
Recently, some Western media claimed that most of the assistance and investment that China promised to the Philippines was never fulfilled. Such tone maliciously aims to drive a wedge between Beijing and Manila.
In recent years, China has been advancing its Belt and Road initiative in Southeast Asia and has no reason to skip the Philippines when seeking investment and cooperation. In fact, relevant departments of the two countries have been working to push forward the implementation of cooperation projects.
The West has been accusing China's Belt and Road initiative of locking some countries into a debt trap. However, when it comes to the Philippines, the West criticized China for not fulfilling its promises. Behind such hypocritical words lie the West's deep-seated prejudice and hostility against China.
When the US strategically targets China, it is difficult for the Philippines - geographically adjacent to China while closely watched by the US - to keep independent strategic thinking and remain firm-minded.
But independent thinking and strong political determination are essential for every country. When Duterte first thought about mending ties with Beijing, independent thinking prompted Manila to face the question: What advantages can the country gain from enmity with China, if any? Will the Philippines benefit from it or will it be exploited by external forces?
The whole region should keep alert to whom will benefit from confrontation among South China Sea stakeholders. As one of the US' allies in Southeast Asia, the Philippines will always be a tool of the West to instigate provocations in the waters. After twists and turns, Philippine society will form its own judgment.
Many Philippine elite might have thought that their country and the entirety of Southeast Asia could rely only on the US and the West before China's rise, yet most regional countries did not achieve modernization. China offers more options for the Philippines, and because of China's rise, the Philippines and Southeast Asia have gained more attention. Compared with the Aquino era, the Philippines under Duterte has acquired more strategic initiatives without becoming overly dependent on other countries.
China-Philippines friendly cooperation has changed the strategic position of the Philippines and brought about a new pattern for its development. It is expected that Xi's visit will accelerate bilateral cooperation.
Newspaper headline: Xi, Duterte upgrade ties, Xi’s Philippine visit a ‘milestone’ event, Improved relations help keep stability in S.China Sea: expert
https://youtu.be/Nu0q5wraLGQ
As cooperation and political trust improve, China and the Philippines agreed on Tuesday to lift ties to a comprehensive strategic cooperation relations while stressing the need to manage disputes in the South China Sea through "friendly negotiations."
The decision was announced after visiting Chinese President Xi Jinping's meeting with Philippine President Rodrigo Duterte on Tuesday in Manila, the Xinhua News Agency reported.
Chinese experts stressed that the visit is a milestone event in the development of bilateral relations and the two countries will pursue greater cooperation under the framework of the China-proposed Belt and Road initiative (BRI) in the coming years.
As friendly neighbors across the sea, China and the Philippines enjoy geographic proximity and a strong bond that links the two peoples and cultures, Xi said, Xinhua reported on Tuesday.
Since Duterte took office, China and the Philippines have reopened the door of friendship and cooperation to each other, bringing real benefits to the two peoples and making important contributions to regional peace, stability and prosperity, Xi noted.
Xi's visit will largely promote bilateral relations as the visit shows that China values friendly relations with the Philippines, Gu Xiaosong, a research fellow on Southeast Asian studies at the Guangxi Academy of Social Sciences, told the Global Times on Tuesday.
"It is a milestone event in the development of bilateral relations," Gu remarked.
Glenn Penaranda, commercial counselor of the Philippine Embassy in China, told the Global Times on Tuesday that "Xi's visit is vital in highlighting the significant relationship between our two countries, particularly in trade and investments. The visit will encourage more and deeper engagements."
Improved China-Philippines relations will also play an important role in maintaining the stability of the South China Sea, experts noted.
"If China and the Philippines can reach an agreement on the exploration and development of oil and gas resources in the South China Sea, it will be a breakthrough in economic cooperation in the region and will largely promote the safety of the Asia-Pacific," Gu said.
Growth prospects
The prospects for economic and trade relations between the two countries are very bright as Philippine priorities are aligned with the key directions for industrial capacity cooperation under BRI, in sectors such as infrastructure, construction and building materials, chemicals and manufacturing, Penaranda said.
Gu agrees, saying that bilateral economic and trade ties will be further enhanced to a higher level, and the two countries will pursue more cooperation under the BRI.
As a developing country with more than 100 million people, the Philippines needs to improve its infrastructure and enhance the growth of its industrial enterprises, Gu noted.
"We need to better understand the opportunities for bilateral cooperation through increased engagements by enterprises," Penaranda said, noting that it is important that the frequent reciprocal visits of officials and business delegations continue.
Experts said China is committed to advancing the development with other countries and the Belt and Road initiative will bring greater growth to other developing countries and promote the economic integration of the Asia-Pacific region.
The two countries have conducted broad cooperation in transportation infrastructure and industrial parks and energy, and China is the Philippines' largest trading partner.
Trade between China and the Philippines increased 8.5 percent year-on-year to $51.28 billion, according to information released by China's Ministry of Commerce (MOFCOM) on Thursday.
As of the end of September, China's investment in the Philippines was $1.25 billion and the Philippines' investment in the Chinese market reached $3.33 billion, according to the MOFCOM.
Experts said cultural and educational exchanges between the two countries also see a huge potential.
The hospitality toward Chinese people is easily felt among the Philippine public.
The Chinese and Philippine flags were placed along Roxas Boulevard in Manila a week ago. Many Chinese who live and study in Manila waited along the boulevard on Tuesday to welcome Xi.
"We're so excited that President Xi has come to Manila. We hope the two countries could strengthen cultural exchanges in the future," Kui Jiangong, a PhD candidate from China who studies at Adamson University in Manila, told the Global Times on Tuesday.
"I have met many locals who like to discuss Chinese culture with me as they want to know more about China," he said. - Global Times
KUALA LUMPUR: The Trans Pacific Partnership Agreement (TPPA) faces its biggest challenge with the election of its major critic Donald Trump as US president. The agreement will collapse without the participation of United States, said its prime mover in Malaysia, Datuk Seri Mustapa Mohamed.
The International Trade and Industry Minister explained that for TPPA to be ratified, it needs at least six countries, accounting for 85% of the combined gross domestic product of the 12 signatories.
“Without the United States, there will be no TPPA,” he said when met in Parliament yesterday.
He added that failure to carry out TPPA may affect the Malaysian economy.
“We went into TPPA for the overall interest of Malaysia. To be a part of this process, to do more trading, as we believe that this will help trade and investment for Malaysia.
“Among the reasons why we joined was to get access to Mexico and Canada, countries that we haven’t gotten access to,” he said.
He, however, was quick to add that it was too soon to make an analysis on the matter.
Trump’s shock victory stunned capital markets around the world with investors seeking safe haven assets such as gold to brace the period of uncertainties.
In an immediate after-effect Asian stock markets fell, with Bursa Malaysia performing relatively better than most other markets, shedding less than 1%.
The US dollar index, which measures the strength of the currency against a basket of currencies, spiked to more than 1,207, largely due to the weakening of emerging market currencies and strengthening of safe-haven currencies such as the Yen and Swiss francs.
The ringgit fell to RM4.224 against the greenback, a nine-month low since Feb 25. Gold spot prices went up by almost 5% to US$1,337 (RM5,645) as investors sought shelter in safe haven assets in the period of uncertainty.
Ministers and chief negotiators of TTPA countries are expected to meet in Peru soon to take stock on the fate of the agreement.
International Trade and Industry secretary-general Datuk J. Jayasiri, who was Malaysia’s chief TPPA negotiator, said there was no indication so far that Washington under President Barack Obama would not table the Bill in the US Congress for ratification.
“All indications from US Trade Representative Michael Froman is that they are working hard to table it. The US has its own domestic process and for Malaysia we will continue the process of amending our laws,” he said.
Peru will host the annual Asia Pacific Economic Cooperaton (Apec) summit on Nov 19 to be attended by Prime Minister Datuk Seri Najib Razak. Obama is also expected to attend.
American Malaysia Chamber of Commerce (Amcham) executive director Siobhan Das said US business investments would continue to find a home in Malaysia.
“Amcham supports all efforts that enable free and fair trade between all parties, and looks forward to working with the new administration to grow US business interests in Malaysia,” said Das.
Malaysian Association for American Studies (MAAS) President Prof Dr K.S. Nathan believed that Trump would try to fine tune but would not scrap the agreement.
“They may renegotiate some aspects of it but I don’t see Trump pulling back on the TPPA or even the North American Free Trade Agreement”.
The US Embassy’s charge d’affaires Edgard Kagan explained it was still possible that TPPA would be approved by US lawmakers.
“There are different views on trade in the US. President Obama is committed to the TPPA and we will just have to see what happens,” he said.
In theory, the TPPA could still be ratified by Congress during its “lame duck” session.
This is the session which takes places after the US presidential election but before the inauguration on Jan 20 next year.
BY Razak ahmad, Neville spykerman, Mergawati zulfakar, Loshana k shagar, Hemananthani sivanandam, Rahimy rahim, Martin carvalho, andd. Kanyakumari The Star/ANN
President Barack Obama disembarked from Air Force One in Hangzhou, China, on Saturday. Photo: JONATHAN ERNST/REUTERS
https://youtu.be/f6AmvKBrJaQ
The United States' "obsession with special privileges" lies behind several US media organization's accusation that China treated US reporters rudely during the G20 Leaders Summit in Hangzhou, sources said.
The sources, who are close to the matter, responded on condition of anonymity to news reports and opinion pieces in some US newspapers that accused China of failing to meet the US media demands.
They faulted China first with not allowing some US reporters to be close to President Barack Obama as he got off Air Force One in Hangzhou on Saturday.
Obama said on Sunday, however, that his talks on Saturday with President Xi Jinping had been "extremely productive" and that he "wouldn't overcrank the significance" of arguments that took place at the airport upon his arrival.
The Wall Street Journal complained that on Saturday "the Chinese barred Mr Obama from including his traveling press contingent in his motorcade".
The New York Times said on Tuesday that "The White House press corps, which normally has access to the president's public events wherever he travels, has been sequestered in buses 200 yards from the site of the Group of 20, without access to food or toilets."
In response, a Chinese source told China Daily that the US, brushing aside common journalistic practice in multilateral meetings, insisted on having a bus carrying about 20 US reporters follow Obama's motorcade directly to summit hall where closed-door meetings were held.
Normally, however, host countries of major multilateral meetings have journalists gather as a pool in the news center and have them go through routine security checks before they are led to the meeting hall.
Another source at the scene told China Daily that "the bus was of course not allowed to join the motorcade, according to press rules, and we arranged for the reporters to go to the news center. But some of them chose to stay on the bus, while some went to the bathrooms or the press center at the summit."
The New York Times reported that when Xi and Obama took a leisurely stroll after dinner on Saturday, "Chinese security cut the number of US journalists allowed to witness it to three from the original six, then ultimately to a single reporter".
But a second Chinese source said China "had never promised to allow six reporters".
"Because the lakeside path was too narrow for that many reporters, we proposed one on one - one reporter from the US and the other from China. Later, the US agreed it was a good arrangement," the source said.
When asked about the meeting between Xi and Obama and the so-called incidents, Mark Toner, deputy US State Department spokesman said at a news briefing on Tuesday that the "small incidents that took place on the periphery" do not take away from "the strong cooperation that we've had with China on a number of fronts over the past several years of this administration".
A Chinese source said: "It is common to make some demands, but the demands should not cross the line. The US should not be an exception."
The sources added that no other country demanded the privileges that the US sought, and "China had every reason to provide convenient arrangements to foreign reporters" because it wished to successfully host the summit.
By Zhang Yunbi and Wu Jiao(China Daily)
Contact the writer at zhangyunbi@chinadaily.com.cn
Warm reception: Chinese President Xi Jinping
welcoming Prime Minister Datuk Seri Anwar Ibrahim at the Great Hall of the People in Beijing. — SADIQ ASYRAF/ Prime Minister’s Office
