Asia Pacific News
LAST UPDATE: July 18, 2025
US Set to Impose 93.5% Tariff on Key Battery Material From China
The U.S. Commerce Department will levy preliminary anti-dumping duties of 93.5% on Chinese graphite imports—vital for batteries—after finding subsidy-induced unfair pricing (Reuters).
Insight
This steep tariff underscores Washington’s commitment to bolster domestic critical minerals production and dampen China’s dominance in battery supply chains, likely raising costs for U.S. EV and tech manufacturers.
Should China adopt a zero interest rate?
FT examines whether China should lower interest rates to zero amid deflationary pressures: real GDP growth is healthy (~5.2%), but nominal growth lags at ~3.9%. While lowering rates could aid indebted local governments and revive investment, it risks hurting bank profitability, worsening overcapacity, and depressing consumption .
Insight
Beijing’s policymakers face a tough trade-off: stimulative zero‑rate policy might jumpstart growth, but it could also destabilize the banking sector and delay structural reforms, reflecting deeper economic imbalances.
