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Asian Stocks Slip as Ross Says U.S. Still Plans to Raise Imports on China

Investing.com - Asian stocks slipped in morning trade on Friday following reports that U.S. Commerce Secretary Wilbur Ross said Washington is still planning to impose further tariffs on Chinese imports in January.

Ross added that President Donald Trump is probably only willing to agree to a “framework” for future discussion on trade with Chinese President Xi Jinping when they meet during the G-20 summit this month.

“The big event is going to be the one-on-one meeting with President Trump and President Xi at the G-20 down in Argentina. All this other stuff is just preparatory until that. That’ll set if there is going to be a real framework," said Ross.

The two presidents are not expected to “get into intimate details -- how much LNG and how much this and that. It’s going to be big picture, but if it goes well, it’ll set the framework for going forward," Ross said. “We certainly won’t have a full formal deal by January. Impossible.”

Ross also noted the U.S. is still planning to increase tariffs on some $200 billions of Chinese imports to 25%.

Overnight, U.S. stocks rebounded and rose for the first time in six days as JPMorgan Chase & Co (NYSE:JPM) led banks higher and iPhone maker Apple (NASDAQ:AAPL) jumped after falling into bear territory earlier this week.

The Dow Jones Industrial Average finished the day up 208.77 points at 25,289.27. The S&P 500 rose more than 1% while the Nasdaq Composite added 1.7%.

Brexit uncertainties also remained in focus after multiple important ministers in the U.K., including Brexit Secretary Dominic Raab, resigned from Prime Minister Theresa May's government.

At least 16 members of her own Conservative Party have called for a vote of no confidence in May, citing dissatisfaction with her proposals to leave the European Union, the CNBC reported.

The news came after May secured backing from her cabinet for a draft Brexit deal with the E.U. on Wednesday.

“The collective decision of cabinet was that the government should agree the draft withdrawal agreement and the outline political declaration,” May said.

In Asia, China’s Shanghai Composite and the Shenzhen Component slipped 0.1% and 0.3% respectively by 9:45 PM ET (02:45 GMT). Hong Kong’s Hang Seng Index traded 0.6% lower.

Japan’s Nikkei 225 slid 0.3%. South Korea’s KOSPI was little changed at 2087.3.

Down under, Australia’s ASX 200 inched up 0.1%.

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