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BRICS leaders descended on sunny Rio de Janeiro Sunday, but issued a dark warning that US President Donald Trump’s “indiscriminate” import tariffs risk hurting the global economy.The 11 emerging nations — including Brazil, Russia, India, China and South Africa — represent about half the world’s population and 40 percent of global economic output.The bloc is divided about much, but found common cause when it comes to the mercurial US leader and his stop-start tariff wars.The BRICS leaders voiced “serious concerns about the rise of unilateral tariff and non-tariff measures,” warning they are illegal and arbitrary, according to a final summit statement.In April, Trump threatened allies and rivals alike with a slew of punitive duties, but abruptly offered a reprieve in the face of a fierce market sell-off.Trump has warned they will again impose unilateral levies on partners unless they reach “deals” by August 1.The BRICS said such moves break world trade rules, threaten to further reduce global trade and were “affecting prospects for global economic development.”The summit declaration did not mention the United States or its president by name, but it is a clear political volley directed at the occupant of 1600 Pennsylvania Avenue.The Peterson Institute for International Economics, a Washington think tank, estimates Trump’s tariffs could trim about two points off US GDP and hit economies from Mexico to the oil-rich Arabian Gulf. – No show -Conceived two decades ago as a forum for fast-growing economies, the BRICS have come to be seen as a Chinese-driven counterbalance to Western power. But as the group has expanded to include Iran, Indonesia and others, it has struggled to reach meaningful consensus on issues ranging from the Gaza war to reforming international institutions.  The political punch of this year’s summit has been depleted by the absence of China’s Xi Jinping, who is skipping the meeting for the first time in his 12 years as president.The Chinese leader is not be the only notable absentee. Russian President Vladimir Putin, charged with war crimes in Ukraine, is also opting to stay away, but participated via video link.He told counterparts that the influence of BRICS “continues to grow” and said the bloc had become a key player in global governance.Still, Xi’s no-show is a blow to BRICS and to host President Luiz Inacio Lula da Silva, who wants Brazil to play a bigger role on the world stage.- War and peace -On Sunday he welcomed leaders to Rio’s stunning Guanabara Bay, telling them that multilateralism was under attack, while hitting out at NATO and Israel, among others.He accused the trans-Atlantic defense organization of fueling an international arms race through a pledge by members to spend five percent of GDP on defense.”It is always easier to invest in war than in peace,” he said, while accusing Israel of carrying out “genocide” in Gaza.Iran’s President Masoud Pezeshkian, whose nation is still reeling from a 12-day conflict with Israel, is also skipping the meeting, but he was represented by Foreign Minister Abbas Araghchi.Still, Iran won the diplomatic backing of its allies over Israel and the United States’ recent bombing of Iranian military, nuclear and other sites.Tehran’s allies condemned the strikes, and voiced “serious concern over deliberate attacks on civilian infrastructure and peaceful nuclear facilities.”The United States, Israel and European nations accuse Iran of using a civilian nuclear program as cover to create a nuclear bomb. The BRICS bloc did not explicitly mention Israel or the United States in the condemnation of the recent attacks, in a concession to members such as hosts Brazil who also enjoy close ties with Western nations.The 2026 BRICS summit is set to be hosted by India, Prime Minister Narendra Modi told the gathering.

US tariffs will kick in on August 1 if trading partners from Taiwan to the European Union do not strike deals with Washington, Treasury Secretary Scott Bessent said Sunday. The rates will “boomerang back” to the sometimes very high levels which President Donald Trump had announced on April 2 — before he suspended the levies to allow for trade talks and set a July 9 deadline for agreement, Bessent told CNN.Bessent confirmed comments by Trump to reporters aboard Air Force One on Friday in which he also cited a new deadline: “Well, I’ll probably start them on August 1. Well, that’s pretty early. Right?” The president said he had signed 12 letters to be sent out, likely on Monday. The tariffs were part of a broader announcement in April where Trump imposed a 10 percent duty on goods from almost all trading partners, with a plan to step up these rates for a select group within days.But he swiftly paused the hikes until July 9, allowing for trade talks to take place.Countries have been pushing to strike deals that would help them avoid these elevated duties.So far, the Trump administration has unveiled deals with the United Kingdom and Vietnam, while Washington and Beijing agreed to temporarily lower staggeringly high levies on each other’s products.Bessent said the administration was “close to several deals.””I would expect to see several big announcements over the next couple of days,” he said.But he would not say which countries he was referring to, adding: “I don’t want to let them off the hook.”As his July 9 deadline approaches, Trump has repeatedly said he plans to inform countries of US tariff rates by sending them letters.Aboard Air Force One on Friday, Trump said sending notices would be much easier than “sitting down and working 15 different things… this is what you have to pay, if you want to do business (with) the United States.”Bessent pushed back at CNN host Dana Bash’s assertion the administration was using threats rather than negotiations, and denied that Trump was setting a new deadline with the August 1 date.”It’s not a new deadline. We are saying, this is when it’s happening. If you want to speed things up, have at it. If you want to go back to the old rate, that’s your choice,” he said.He said the playbook was to apply “maximum pressure” and cited the European Union as an example, saying they are “making very good progress” after a slow start.EU and US negotiators are holding talks over the weekend, and France’s finance minister said Saturday he hoped they could strike a deal this weekend.Other countries were still expressing unease, however.Japan’s Prime Minister Shigeru Ishiba said Sunday he “won’t easily compromise” in trade talks with Washington.And BRICS leaders meeting in Rio de Janeiro are expected to decry the tariffs Sunday, saying they are illegal and risk hurting the global economy.

BRICS leaders descended on sunny Rio de Janeiro Sunday, ready to issue a dark warning that US President Donald Trump’s “indiscriminate” import tariffs risk hurting the global economy.The 11 emerging nations — including Brazil, Russia, India, China and South Africa — represent about half the world’s population and 40 percent of global economic output.The bloc is divided about much, but has found common cause when it comes to the mercurial US leader and his stop-start tariff wars.The BRICS are set to voice “serious concerns about the rise of unilateral tariff and non-tariff measures,” warning they are illegal and arbitrary, according to a draft summit statement obtained by AFP.In April, Trump threatened allies and rivals alike with a slew of punitive duties, but abruptly offered a reprieve in the face of a fierce market sell-off.Trump and his Treasury Secretary, Scott Bessent, have warned they will again impose unilateral levies on partners unless they reach “deals” by August 1.The BRICS will warn that such moves break world trade rules, “threaten to further reduce global trade” and are “affecting the prospects for global economic development.”The draft summit declaration does not mention the United States or its president by name, but it is a clear political volley directed at the occupant of 1600 Pennsylvania Avenue.The Peterson Institute for International Economics, a Washington think tank, estimates Trump’s tariffs could trim about two points off US GDP and hit economies from Mexico to the oil-rich Arabian Gulf. – No show -Conceived two decades ago as a forum for fast-growing economies, the BRICS have come to be seen as a Chinese-driven counterbalance to Western power. But as the group has expanded to include Iran, Indonesia and others, it has struggled to reach meaningful consensus on issues ranging from the Gaza war to reforming international institutions.  The political punch of this year’s summit has been depleted by the absence of China’s Xi Jinping, who is skipping the meeting for the first time in his 12 years as president.The Chinese leader will not be the only notable absentee. War crime-indicted Russian President Vladimir Putin is also opting to stay away, but participated via video link.He told counterparts that the influence of BRICS “continues to grow” and said the bloc had become a key player in global governance.Still, Xi’s no-show is a blow to BRICS and to host President Luiz Inacio Lula da Silva, who wants Brazil to play a bigger role on the world stage.On Sunday he welcomed leaders to Rio’s stunning Guanabara Bay, telling them that multilateralism was under attack, while hitting out at NATO and Israel, among others.He accused the trans-Atlantic defense organization of fueling an international arms race through a pledge by members to spend five percent of GDP on defense.”It is always easier to invest in war than in peace,” he said, while accusing Israel of carrying out a “genocide” in Gaza.Iran’s President Masoud Pezeshkian, whose nation is still reeling from a 12-day conflict with Israel, is also skipping the meeting, but he was represented by Foreign Minister Abbas Araghchi.A source familiar with summit negotiations said Iran had sought a tougher condemnation of Israel and the United States over their recent bombing of Iranian military, nuclear and other sites. But one diplomatic source said the text would give the “same message” that BRICS delivered last month.Then Tehran’s allies expressed “grave concern” about strikes against Iran, but did not explicitly mention Israel or the United States. 

Sipping green tea in his garden of roses, ex-communist party official Nguyen Van Cuong says he is “jobless but happy” after Vietnam cut 80,000 state roles this week.But fretting at home after leaving public employment once considered a job-for-life, Nguyen Thi Thu told AFP she feels “empty” over a future that is no longer certain.Vietnam is in the midst of a dramatic remaking of its state apparatus, with 100,000 positions slated to be scrapped as Hanoi seeks to streamline bureaucracy and boost the economy.On Monday, 80,000 roles were slashed as most of the Southeast Asian nation’s provinces and cities were merged.Feelings are mixed among newly unemployed apparatchiks — communist party officials whose jobs were once guaranteed.”It’s really a waste for the state to lose one like myself,” said 56-year-old Cuong, who served in Bac Giang province outside Hanoi. Bac Giang was merged into a neighbouring province’s administration.The government said those caught in the overhaul would either be made redundant or offered early retirement.Cuong told AFP he could have remained in his post — or even been promoted — but chose to accept a $75,000 payoff for his remaining six years after a 30-year state career.”It’s time to rid myself of so much complexity in state politics,” he said.The mass reorganisation overseen by Vietnam’s top leader To Lam echoes steps taken by US President Donald Trump and Argentine leader Javier Milei to take an axe to government spending towards “efficiency”.- ‘Don’t know what’s next’ -Former district-level secretary Thu admits she may not have been able to manage the burdens of the job as management prioritised performance.The 50-year-old felt she had no option but to resign when her office was relocated to the Mekong delta province of An Giang, more than 70 kilometres (44 miles) from her home.”I resigned, not because I wanted to quit my job,” Thu said. “It’s better to resign rather than waiting for a dismissal order.”Vietnam — a global manufacturing hub — recorded economic growth of 7.1 percent last year and is aiming for eight percent this year as it vies for “middle-income country” status by 2030.But the country is facing headwinds from key trade partner the United States.Trump threatened a 46 percent tariff before settling on a 20 percent rate in a deal announced on Wednesday — a levy five times the rate before he took office the second time.Vietnam’s deputy finance minister said the new administrative structure would bring “strong scale to connect strong business and economic infrastructure” and create “greater socio-economic development”.Lam, the Communist Party general secretary, said Monday that “the decision to reshape the nation is a historical landmark with strategic meaning” aiming “to continue our path towards a socialist country… for people’s happiness”.But for Thu, the way forward is now unclear.”I don’t know what to do next,” she said.Scrolling carefree on his phone and chatting with friends online, Cuong said he had few regrets over his voluntary redundancy.He feels like Vietnam may be the one missing out on what he has to offer.”I could still contribute more to the state sector,” he said.

BRICS leaders meeting in Rio de Janeiro on Sunday are expected to decry US President Donald Trump’s “indiscriminate” trade tariffs, saying they are illegal and risk hurting the global economy. Emerging nations, which represent about half the world’s population and 40 percent of global economic output, have united over “serious concerns” about US import tariffs, according to a draft summit statement obtained by AFP on Saturday.Since coming to office in January, Trump has threatened allies and rivals alike with a slew of punitive duties.His latest salvo comes in the form of letters informing trading partners of new tariff rates that will soon enter into force.The draft summit declaration does not mention the United States or its president by name, and could yet be amended by leaders gathering for talks Sunday and Monday.But it is a clear political shot directed at Washington from 11 emerging nations, including Brazil, Russia, India, China and South Africa. “We voice serious concerns about the rise of unilateral tariff and non-tariff measures which distort trade and are inconsistent with WTO (World Trade Organization) rules,” the draft text says. It warns that such measures “threaten to further reduce global trade” and are “affecting the prospects for global economic development.”- Xi no show -Conceived two decades ago as a forum for fast-growing economies, the BRICS have come to be seen as a Chinese-driven counterbalance to Western power. But the summit’s political punch will be depleted by the absence of China’s Xi Jinping, who is skipping the annual meeting for the first time in his 12 years as president.That absence has prompted fevered speculation in some quarters.”The simplest explanation may hold the most explanatory power. Xi recently hosted Lula in Beijing,” said Ryan Hass, a former China director at the US National Security Council who is now with the Brookings Institution think tank.The Chinese leader will not be the only notable absentee. War crime-indicted Russian President Vladimir Putin is also opting to stay away, but will participate via video link, according to the Kremlin.Hass said Putin’s non-attendance and the fact that Indian Prime Minister Narendra Modi will be a guest of honor in Brazil could also be factors in Xi’s absence.”Xi does not want to appear upstaged by Modi,” who will receive a state lunch, he said.”I expect Xi’s decision to delegate attendance to Premier Li (Qiang) rests amidst these factors.”Still, the Xi no-show is a blow to host President Luiz Inacio Lula da Silva, who wants Brazil to play a bigger role on the world stage.In the year to November 2025, Brazil will have hosted a G20 summit, a BRICS summit, and COP30 international climate talks, all before heading into fiercely contested presidential elections next year, in which he is expected to run.Lula warmly welcomed leaders and dignitaries on Saturday, including China’s Premier Li Qiang, as the leftist president hosted a pre-summit business forum in Rio.”Faced with the resurgence of protectionism, it is up to emerging countries to defend the multilateral trade regime and reform the international financial architecture,” Lula told the event.Iran’s President Masoud Pezeshkian, whose nation is still reeling from a 12-day conflict with Israel, is also skipping the meeting and will be represented by Foreign Minister Abbas Araghchi.A source familiar with the negotiations said Iran had sought a tougher condemnation of Israel and the United States over their recent bombing of Iranian military, nuclear and other sites. But one diplomatic source said the text would give the “same message” that BRICS delivered last month.Then Iran’s allies expressed “grave concern” about strikes against Iran, but did not explicitly mention Israel or the United States. Artificial intelligence and health will also be on the agenda at the summit.Original members of the bloc Brazil, Russia, India, and China have been joined by South Africa and, more recently, Saudi Arabia, Iran, the United Arab Emirates, Egypt, Ethiopia and Indonesia.

Thousands of local tourists poured into China’s first-ever Legoland as it opened its gates in Shanghai on Saturday, the latest theme park hoping to capitalise on a domestic tourism boom.The Chinese branch of the British-owned theme park franchise is the biggest Legoland in the world.It drew in early customers who flocked to attractions including a miniature train ride and a dragon-themed rollercoaster.”I personally love to play with Lego blocks and we have many sets at home… so I wanted to come to Legoland at the earliest opportunity,” said Shi, a 35-year-old resident of nearby city Hangzhou, who was visiting the park with his wife and child.Despite the Chinese economy’s sluggish growth in recent years, domestic tourist spending grew 18.6 percent in the first quarter of this year compared to the previous year, according to statistics.”Ever since the pandemic, I’ve made very few trips abroad,” said Shi, adding his family now travels to theme parks around China “many times a year”.Eager Lego fans rushed into the park as soon as it opened, wearing themed shirts and waving branded flags as they enjoyed the 318,000-square-metre (78.5-acre) compound in scorching temperatures.Beijing has announced subsidies intended to make travelling within the country more affordable for Chinese citizens, and is pushing local governments to heavily market their attractions on social media.Companies have taken note of the wider local tourism boom and stepped up their plans in China.A new “Spider-Man” attraction at Shanghai Disneyland broke ground in May, while Warner Brothers is set to open a Harry Potter experience in Shanghai by 2027.Toy giant Hasbro said this week its giant Peppa Pig park in the city was now “in the phase of creative design”.Chinese collectable toy maker Pop Mart has also opened an attraction in Beijing featuring life-sized versions of its popular Labubu toys.”The various provinces are putting a lot of effort into expanding their tourism industries, and all of them have special attractions,” said Xu, a 34-year-old parent visiting Legoland on Saturday with his children.But profitability remains a problem, especially for local companies with less brand recognition.As of late 2024, around 40 percent of parks were still failing to turn a profit, according to state media reports.Yet analysts point to a growing population of retirees and job market changes as key factors pushing more locals to visit domestic attractions.”The labour market is turning more flexible,” said Ernan Cui, China consumer analyst at Gavekal Research.”More people have leisure time to travel around.”

Vietnam announced on Saturday its economy grew 7.52 percent in the first half of 2025, the highest in more than a decade as exports soared.The strong growth figure comes just days after southeast Asian manufacturing hub averted the most punishing of US President Donald Trump’s threatened “reciprocal” tariffs on its exports.”GDP in the first six months of 2025 increased by 7.52 percent over the same period last year, the highest level of the first six months in the period 2011-2025,” the General Statistics Office said in a statement.The country achieved growth of 7.96 percent in the second quarter over the same period last year, the highest Q2 reading since 2022 when it hit 8.56 percent.”Our country’s socio-economic performance in the second quarter and the first six months of 2025 achieved very positive results, approaching the set target in the context of many uncertainties in the world and regional economy,” the GSO statement said.Vietnam — a global manufacturing hub — recorded economic growth of 7.1 percent last year and is aiming for eight percent this year as it vies for “middle-income country” status by 2030.The nation has the third-biggest trade surplus with the United States of any country after China and Mexico, and was targeted with one of the highest rates in Trump’s tariff blitz.Hanoi’s trade deal with Washington announced this week has negotiated levies down from an eye-watering 46 percent to a minimum 20 percent in return for opening its market to US products.However the rate is around five times more than before Trump’s second term, according to Bloomberg Economics, and the pact contains a clause seeding more uncertainty about vital supply chains with China.Trump says a 40 percent tariff will hit goods passing through Vietnam to circumvent steeper trade barriers targeting their nation of origin — a practice called “transshipping”.Washington has accused Hanoi of using the practice to gate Beijing’s products to American markets, but Chinese raw materials are also the lifeblood of Vietnam’s manufacturing industries.In its outlook for Vietnam published Friday, Fitch Solutions said there were upside risks to its 2025 Vietnam GDP growth forecast of 6.4 percent as exports and investments remained strong.The United States is Vietnam’s largest export market, worth $70.91 billion in the first half of the year.In the first six months of 2025, Vietnam’s total goods exports reached $219.83 billion, up 14.4 percent over the same period last year, the GSO said, with processed industrial goods accounting for almost 90 percent of that.The statistics office said the reorganisation of the country’s government apparatus last month which saw most of its provinces and cities merged had been part of its efforts towards socio-economic development.

France on Friday praised China’s steps to settle a trade dispute over European brandy imports but warned that “major issues” remained unresolved.The signs of a thaw in the row over the alcohol came as China’s Foreign Minister Wang Yi met French President Emmanuel Macron and Foreign Minister Jean-Noel Barrot in Paris.In recent months China and the European Union have butted heads over Beijing’s generous subsidies for its domestic industries.Beijing launched an investigation last year into EU brandy, months after the bloc undertook a probe into Chinese electric vehicle (EV) subsidies.In the latest salvo, China will from Saturday require European brandy exporters to raise prices or risk anti-dumping taxes of up to 34.9 percent.Beijing said 34 European brandy makers, including several French cognac producers, had signed an accord to avoid tariffs as long as they stick to an agreed minimum price.France’s cognac makers’ association BNIC, which includes key producers Hennessy, Remy Cointreau and Martell, confirmed that some companies had agreed to price increases in China to avoid anti-dumping taxes.- ‘Positive step’ – Macron and Barrot praised China’s steps to resolve the dispute but stressed they would discuss the outstanding differences with Wang.”This is a positive step towards resolving this dispute, which was threatening our exports,” Macron said on X.”I will continue to raise these issues with the Chinese authorities this afternoon.”In a statement to AFP, Barrot said: “Several major issues remain unresolved, in particular the exclusion of certain players from the scope of the exemptions.” “We remain fully committed to reaching a definitive solution based on the conditions that existed prior to the investigation,” he said.Wang has held fraught meetings in several European countries this week.After meeting Macron and Barrot, Wang told a press conference: “The two sides had in-depth, active and sincere exchanges on Sino-French and European relations.” No mention was made of the brandy dispute.Almost all EU brandy is cognac produced in France, whose exports to China are worth 1.4 billion euros ($1.6 billion) per year.French liquor giant Jas Hennessy said it would face levies of 34.9 percent if it did not stick to the deal. Remy Martin will be hit with 34.3 percent and Martell 27.7 percent.”The decision to accept the price commitment once again demonstrates China’s sincerity in resolving trade frictions through dialogue and consultation,” a Chinese commerce ministry spokesperson said in a statement.However, the European Commission kept up criticism of China’s new tariffs.”We believe that China’s measures are unfair. We believe they are unjustified,” said commission trade spokesman Olof Gill.”We believe they are inconsistent with the applicable international rules and are thus unfounded.”- Upcoming summit -China has sought to improve relations with the European Union as a counterweight to the United States.But frictions remain, including a yawning trade deficit of $357.1 billion between China and the EU, as well as Beijing maintaining close ties with Moscow since Russia invaded Ukraine.The trade row blew up last year when the EU moved to impose hefty tariffs on Chinese electric vehicles, arguing that Beijing’s subsidies unfairly undercut European competitors.Beijing rejected the accusation and announced what were seen as retaliatory probes into imported European pork, brandy and dairy products.The EU imposed extra import taxes of up to 35 percent on Chinese electric vehicles in October.Beijing lodged a complaint with the World Trade Organisation, which in April said it would set up an expert panel to investigate.China and the EU are to hold a summit this month to mark the 50th anniversary of their diplomatic ties. But Bloomberg News reported, citing unnamed sources, that Beijing would cancel the second day of the summit, in a sign of the tensions.

Stock markets mostly fell while the dollar largely retreated Friday as international tensions over tariffs dominated sentiment.Traders digested news also of Congress narrowly passing US President Donald Trump’s signature tax and spending bill that analysts argue risks ballooning national debt and wider inflation. On tariffs, Trump said he planned to start sending letters informing trading partners of their import levies as soon as Friday, as negotiations to avoid higher US rates entered the final stretch.In Europe, EU stock markets fell, with sentiment hit by China moving forward with “anti-dumping” taxes of up to 34.9 percent on cognac and other brandy imported from the bloc if producers don’t voluntarily hike prices.London ended the day flat.Asian stock markets closed out the week mixed.Oil prices extended losses, with OPEC and the cartel’s crude-producing allies expected this weekend to announce a rise to output.The main focus heading into next week was on Trump’s tariff plans.”We draw ever closer to Wednesday’s reciprocal tariff deadline, and thus traders are likely to grow jittery despite the tentative signals of a potential pathway to a deal,” noted Joshua Mahony, chief market analyst at Rostro trading group.Governments around the world have fought to hammer out tariff deals with Washington after Trump unveiled a blitz of levies in early April.He and his top officials have said several were in the pipeline, but only Britain and Vietnam have signed pacts.China has agreed to a framework for it and the United States to slash tit-for-tat tolls and ship certain products.The prospect that trading partners from Japan and South Korea to India and Taiwan could be hit with stiff tariffs fuelled fresh worries about the global economy.”While we are unlikely to see a repeat of volatility like we did in early April, when markets were at the peak of tariff-related turbulence, we could potentially see some selling pressure if we see the return of tit-for-tat trade tariffs,” said City Index and FOREX.com analyst Fawad Razaqzada.Uncertainty leading up to next week’s cut-off tempered the positive lead from another record Thursday on Wall Street, where a forecast-busting US jobs report soothed worries about the world’s top economy.The data dented the prospect of the Federal Reserve cutting interest rates at its July policy meeting, with bets now on two reductions before the end of the year — the first likely in September.However, analysts suggested that all was not what it seemed, pointing to softness in the private sector.”We think that private-sector hiring has stalled, and we may see sporadic layoffs in some industries in the coming months,” warned analysts at Japanese financial group MUFG.”Despite the unemployment rate having fallen… the flow of potential workers that remained out of the labour force rose sharply in June, further highlighting the weak hiring environment. “We continue to view labour demand as being fundamentally weak relative to the past several years,” they added.Wall Street was closed on Friday for the US Independence Day holiday.- Key figures at around 1530 GMT -London – FTSE 100: FLAT at 8,822.91 points (close)Paris – CAC 40: DOWN 0.8 percent at 7,696.27 (close)Frankfurt – DAX: DOWN 0.6 percent at 23,7787.45 (close)Tokyo – Nikkei 225: UP 0.1 percent at 39,810.88 (close)Hong Kong – Hang Seng Index: DOWN 0.6 percent at 23,916.06 (close)Shanghai – Composite: UP 0.3 percent at 3,472.32 (close)New York: Closed for a public holidayEuro/dollar: UP at $1.1783 from $1.1755 on ThursdayPound/dollar: DOWN at $1.3641 from $1.3642Dollar/yen: DOWN at 144.53 yen from 145.06 yenEuro/pound: UP at 86.37 pence from 86.14 penceWest Texas Intermediate: DOWN 0.7 percent at $66.56 per barrelBrent North Sea Crude: DOWN 0.6 percent at $68.39 per barrelburs-rl/giv

France on Friday praised steps taken by China to settle a long-running trade dispute concerning European brandies but warned that a number of “major issues” remained unresolved.The tentative signs of a thaw in the row over the prized tipples came as China’s Foreign Minister Wang Yi was set to meet French President Emmanuel Macron and Foreign Minister Jean-Noel Barrot in Paris later Friday.In recent months China and the European Union have butted heads over Beijing’s generous subsidies for its domestic industries.Beijing launched an investigation last year into EU brandy, months after the bloc undertook a probe into Chinese electric vehicle (EV) subsidies.In the latest salvo in the trade spat, from Saturday China will require major European brandy exporters to raise prices or risk anti-dumping taxes of up to 34.9 percent.But Beijing also said that several major French cognac producers had signed onto a price commitment to avoid the tariffs as long as they sell at or above an agreed minimum price.France’s umbrella cognac makers association BNIC, which includes key producers from Hennessy to Remy Cointreau and Martell, confirmed that market players had agreed to price increases in China to avoid anti-dumping taxes.French cognac and liqueur maker Remy Cointreau pointed to “an alternative that is significantly less punitive than the application of definitive anti-dumping duties.”- ‘Positive step’ – Both Macron and Barrot praised China’s steps to resolve the dispute but stressed they would discuss the outstanding differences with Wang.”This is a positive step towards resolving this dispute, which was threatening our exports,” Macron said on X.”I will continue to raise these issues with the Chinese authorities this afternoon.”In a statement to AFP Barrot said: “Several major issues remain unresolved, in particular the exclusion of certain players from the scope of the exemptions.” “We remain fully committed to reaching a definitive solution based on the conditions that existed prior to the investigation,” he said.China’s Wang held fraught meetings with his counterparts during a tour of Europe earlier this week.Almost all EU brandy is cognac produced in France, exports of which to China are worth 1.4 billion euros ($1.6 billion) per year.French liquor giant Jas Hennessy said it would be hit with levies of 34.9 percent if it reneges on the deal.Remy Martin will be hit with 34.3 percent and Martell 27.7 percent.”The decision to accept the price commitment once again demonstrates China’s sincerity in resolving trade frictions through dialogue and consultation,” a Chinese commerce ministry spokesperson said in a statement.However, the European Commission said Friday after the announcement that it “regrets China’s decision”.”We believe that China’s measures are unfair. We believe they are unjustified,” said the commission’s trade spokesman, Olof Gill.”We believe they are inconsistent with the applicable international rules and are thus unfounded.”- Upcoming summit -China has sought to improve relations with the European Union as a counterweight to superpower rival the United States.But deep frictions remain over their economic relationship, including a yawning trade deficit of $357.1 billion between China and the EU, as well as Beijing’s close ties with Russia despite Moscow’s war in Ukraine.A trade row between Beijing and the bloc erupted last summer when the EU moved towards imposing hefty tariffs on electric vehicles imported from China, arguing that Beijing’s subsidies were unfairly undercutting European competitors.Beijing denied that claim and announced what were widely seen as retaliatory probes into imported European pork, brandy and dairy products.The bloc imposed extra import taxes of up to 35 percent on Chinese EV imports in October.Beijing later lodged a complaint with the World Trade Organisation, which said in April that it would set up an expert panel to assess the EU’s decision.China and the EU are scheduled to hold a summit this month to mark the 50th anniversary of the establishment of diplomatic ties.Bloomberg News reported on Friday, citing unnamed sources, that Beijing intends to cancel the second day of the summit, a sign of tensions between Beijing and Brussels.