BEIJING — No one wins in a trade war. Yet, US President Donald Trump seems determined to pursue one with China, which he accuses of causing America’s trade deficit, violating World Trade Organisation (WTO) rules, and using unfair practices to acquire foreign technology.

On August 11, 2015, the People’s Bank of China (PBOC) established that the central parity of the renminbi’s exchange rate against the US dollar would be set with reference to the previous trading day’s closing price, within a 2 per cent band.It was a bold step towards a more flex

China’s economic growth has been slowing for six years — far longer than expected.Eager to stem the slide, Chinese government officials and economists have desperately sought a clear explanation pointing towards an effective policy response.And, last November, they officially pla

At a time of slowing economic growth and massive corporate debts, a deflationary spiral would be China’s worst nightmare. And the risk is mounting.The producer price index (PPI) has been in negative territory for 39 consecutive months, since February 2012.

After four disappointing years, Chinese economists have realised that slowing GDP growth — from a post-crisis peak of 12.8 per cent in 2010 to about 7 per cent today — is mainly structural, rather than cyclical.In other words, China’s potential growth rate has settled onto a sign

Financial repression — government policies that create an environment of low or negative real interest rates, with the goal of generating cheap financing for public spending — has long been a key feature of Chinese economic policy. But with funding costs for business