Expect significant new tariffs on Chinese imports and moderate levies on goods from other nations , as President-elect Donald Trump rolls out his protectionist agenda. However, with his preference for chaotic policymaking and sudden shifts , there’s uncertainty on how soon these import taxes will actually hit. Dubbed “ Tariff Man ,” Trump aims to use tariffs both strategically and tactically . He’s mentioned taxing all Chinese goods up to 60% and potentially setting 10%-20% tariffs on imports globally , but details on these plans remain vague . Key players within Trump’s team are divided: Robert Lighthizer , a staunch tariff advocate, sees permanent duties as crucial to balance US trade , while others, like billionaires John Paulson and Scott Bessent , view tariffs as temporary leverage. Trump’s previous administration had mixed feelings, especially on national security-related trade limits , which he sometimes dismissed, favoring an “open for business” approach. High-profile busin
In a significant push to stimulate the struggling property sector, three of China's largest cities have relaxed homebuying restrictions following the central government's latest efforts. Guangzhou became the first tier-1 city to completely remove homebuyer eligibility checks and limits on the number of properties owned, according to a statement issued late Sunday. Meanwhile, Shanghai and Shenzhen announced that more people would be eligible to purchase homes in suburban areas and allowed existing homeowners to buy additional properties.
In a move to further boost demand, Shanghai and Shenzhen also lowered minimum downpayment requirements, with first-home buyers needing just 15% and second-home buyers 20%. These changes come as part of China's largest stimulus package to date, aimed at revitalizing the beleaguered property market. The package includes cutting borrowing costs on up to US$5.3 trillion in mortgages and reducing down-payment requirements for second-home purchases to historical lows.
The central government has taken strong action, with top leaders pledging to stop the real estate market's decline. In August, new-home prices fell at their fastest pace since 2014, prompting these aggressive measures. The People's Bank of China (PBOC) also announced it would allow mortgage refinancing for both first and second homes, starting Nov 1. This initiative could further ease financial pressures on homeowners, who will be able to renegotiate terms with lenders.
These changes are expected to reduce annual interest expenses by about 150 billion yuan, offering borrowers relief by slashing rates by an average of 50 basis points. The inclusion of second-home buyers in the mortgage refinancing plan marks a significant expansion compared to similar efforts last year, which focused solely on first-time buyers.
Major banks are expected to announce detailed rules by Oct 12, with refinancing set to be completed by the end of October. This rapid response from state-owned lenders, including Industrial & Commercial Bank of China, Bank of China, and Agricultural Bank of China, highlights the urgency of stabilizing Asia's largest economy, which is grappling with global economic uncertainties.
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