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US trade war could divert Chinese goods to EU markets: analysts

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AFP

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April 13, 2025

The trade wars initiated by US President Donald Trump could disrupt world trade in goods, meaning Europe could see its markets inundated with Chinese products, according to some analysts.

President Donald Trump – White House

The European Union may have expressed some relief at Trump’s decision on Wednesday to suspend his threat to slap swingeing customs duties on foreign goods entering the United States.

But that 90-day moratorium does not apply to US imports from China, which leaves Europe with the question as to where the Asian giant will offload the stocks it previously sold to the US market.

The 27-nation EU is among dozens of economies to which a baseline US tariff rate of 10 percent now applies.

By contrast, Chinese exports to the United States face a 145-percent levy, which puts many of these products out of reach for less wealthy Americans.

China might therefore seek to sell these goods in Europe — even if it means slashing prices.

That, some analysts say, would undermine European industries that are already struggling with Chinese competition.

“This shift could lead to new trade routes and more complex international supply chains,” said Daniela Sabin Hathorn, senior market analyst at Capital.com.

“Companies might begin rerouting Chinese goods… to avoid the US tariffs.”

French President Emmanuel Macron has already pointed to the risk.

On Thursday he said the EU had to take account of the indirect consequences of Trump’s decisions.

“The tariffs on China are huge… There’s a potential risk that some of these products will be diverted, which will clearly affect our economies and unbalance certain sectors and markets,” he warned.

On Friday, he urged the EU to protect itself from “flows from third countries”.

The levy on Chinese goods would nonetheless “increase competitive pressure on European industry, particularly in sectors where margins are already very tight”, pointed out Anais Voy-Gillis, a geographer specialising in industrial affairs.

The European steel sector “which is already in trouble” could be further “weakened”, she said.

She said European manufacturers of aluminium and solar panels — where China already dominates the world market — would also be exposed.

The French ministry of industry and energy told AFP chemicals and vehicle parts would be affected too.

Aurelien Saussay, a professor at the London School of Economics, suggested, however, that the “net effect will not necessarily be as massive as one might imagine”.

Comparatively, he said, the Trump administration’s head-on commercial war on China could “offer the EU an advantage over China for exporting to the United States”.

“There are therefore also compensatory effects.”

If there were a significant influx of Chinese products, Europe might in turn “react by introducing protectionist policies”, said Saussay.

“That’s why we’ve spent the past 80 years avoiding this kind of protectionist offensive,” the economist said.

“We quickly get into the logic of retaliation which then becomes very difficult to extricate yourself from.”

European Commission head Ursula von red Leyen reacted on Tuesday by stressing “China’s critical role in addressing possible trade diversion caused by tariffs, especially in sectors already affected by global overcapacity”.

Industry leaders and company bosses have, for their part, urged Europe to remain competitive, focusing especially on “supply-side policies” and “regulatory simplification”, Alexandre Saubot, the head of the France Industrie lobby, said on April 3.

EU standards are also useful in that they “protect the European market to a certain extent from inferior quality goods”, said Voy-Gillis.

For example, the European market imposes “very high standards” for cosmetics”, according to Emmanuel Guichard of the French Beauty Industry Federation (FEBEA).

“Regulation and quality standards means there isn’t such a huge risk of Chinese goods flooding the (cosmetics) market,” he said.

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Italian jewellery brand Nomination plans new stores in the UK and Türkiye as turnover climbs 30%

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Translated by

Nazia BIBI KEENOO

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April 28, 2025

The Florentine brand Nomination, known worldwide for its modular stainless steel and gold bracelets, will celebrate its 40th anniversary in 2027. In terms of results and retail expansion, it continues its unstoppable growth.

Appointment

“2024 was an extraordinary year, during which we exceeded our expectations by achieving a turnover of more than €60 million, up 30%, and we are confident about consolidation in 2025 as well,” explained Alessandro Gensini, Marketing and Communications Director of the company and son of founder Paolo, to FashionNetwork.com. “All our product lines performed well, starting with the modular bracelets and the links, which are sparking a collecting craze in many markets alongside our fashion collections. We are the inventors of accessible luxury jewellery: with gold prices soaring, our stainless steel and gold bracelets are highly appreciated by young people, who can treat themselves to a precious, high-quality, unique and customisable piece made in Italy.”

The company’s figures are impressive: Nomination produces between 15,000 and 18,000 links per day at its Florence headquarters and sold 3.25 million links last year, along with 850,000 fashion jewellery pieces placed on the market.

A Nomination bracelet
A Nomination bracelet

The company, which generates a large part of its turnover in Europe between Italy and England, is also continuing to advance its retail development strategy. “Last year, we opened nine standalone stores — one in Sofia, one in Dubai, four in Türkiye, two in South Africa, one in Azerbaijan and another in Glasgow just a few weeks ago,” Gensini continued. “Moreover, we are planning further openings in England and Türkiye by the end of the year.”

Regarding other projects for this year, the manager is clear: “In addition to standalone stores, we will focus heavily on shop-in-shops within independent jewellery retailers, and we are working on new collections and symbols. From a communications perspective, we are preparing a new campaign that will launch in September, evolving from the current one. We want to highlight our heritage, our roots in Florence, and the originality of a family-owned company that has managed to innovate the world of jewellery and continues to set trends in the sector. Our social media platforms and selected content creators will increasingly become the ambassadors of our brand values and the unique language of our precious jewellery because Nomination is a truly accessible luxury for everyone,” concluded Alessandro Gensini.

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Sol de Janeiro appoints new CFO amid new management hires

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U.S. skincare brand Sol de Janeiro announced on Friday the appointment of Laurie Lovett joins to the role of chief people and impact officer, and Elaine Paik to the role of chief financial officer.

Courtesy

In her new role, Lovett will lead human resources, social impact, and ESG, driving the firm’s talent strategy, foster inclusive leadership, and lead brand-related programs. 

​Lovett was the former global chief people officer at Nielsen and Verisk, and spent 20 years at Accenture.

Likewise, in her new role, Paik will lead finance, IT, and Legal, driving strong governance and financial performance. The finance veteran joins Sol de Janeiro from Impossible Foods, where she served in the role as CFO. Prior to that, she was a long-serving leader at Colgate-Palmolive.

Both Lovett and Paik will report directly to Sol de Janeiro CEO, Heela Yang.

The L’Occitane Group-owned beauty brand said the appointments are a pivotal step as it “scales beyond its $1 billion milestone toward its next era, with people, culture, and operational excellence at the center,” according to a press release.

Sol de Janeiro was built on the belief that connection is powerful, and people are everything,” said Yang. “Laurie and Elaine are exceptional leaders with the vision, empathy, and rigor to help us grow with soul. Their deep expertise will shape how we scale; not just bigger, but better.”

With these appointments, 71% of Sol de Janeiro’s C-Suite is made up of women, the Brazilian-inspired company added.

Founded in 2015, Sol de Janeiro was acquired in 2021 by L’Occitane Group acquired, valuing the company at$450 million.
 

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China waives tariffs on some U.S. goods, but denies Trump’s claim that talks are underway

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Reuters

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April 27, 2025

China exempted some U.S. imports from its steep tariffs in a sign on Friday that the trade war between the two countries could be easing, though China quickly knocked down U.S. President Donald Trump‘s assertion that negotiations were underway.

Reuters

Business groups said China has allowed some U.S.-made pharmaceuticals to enter the country without paying the 125% duties that Beijing imposed earlier this month in response to Trump’s 145% tariffs on U.S. imports.

Also, a list of 131 product categories said to be under consideration for exemptions was circulating among some businesses and trade groups. Reuters could not verify the list, which includes vaccines, chemicals and jet engines, and China has not yet communicated publicly on the issue.

Trump’s administration has in recent days signaled it is looking to de-escalate the confrontation between the world’s two largest economies, and Trump himself told TIME magazine that talks were taking place and that Chinese President Xi Jinping had called him.

“I don’t think it’s a sign of weakness on his behalf,” he said.

China denied that discussions were happening.

“China and the U.S. are NOT having any consultation or negotiation on #tariffs. The U.S. should stop creating confusion,” the Chinese Embassy in Washington wrote on social media. 

In addition to the steep tariffs on China, Trump has announced targeted tariffs on dozens of other countries, which he has suspended until July 9. That has set off a scramble among U.S. trading partners to strike individual trade deals with Washington before the deadline — a tall order, given that past trade deals have typically taken years to negotiate. 

Trump told reporters at the White House that he was very close to a deal with Japan. That is seen by analysts as a “test case” for other bilateral trade agreements, though talks could be difficult. Some expect Prime Minister Shigeru Ishiba and Trump to announce a pact when they meet at the G7 summit in Canada in June. 

Trump separately told TIME that he had made “200 deals” that would be completed within three to four weeks, though he declined to provide specifics. He said he would consider it a “total victory” if tariffs were still 20% to 50% a year from now.

The office of the U.S. Trade Representative said it had held a productive meeting with South Korea on Friday.

Trump has argued that his thicket of trade barriers will revive U.S. manufacturing industries that have been hollowed out by global competition. Economists, however, broadly warn that they would lead to higher prices for U.S. consumers and increase the risk of recession.

In addition to the country-specific tariffs, Trump has also imposed a blanket 10% tariff on all other U.S. imports and higher duties on steel, aluminum and autos. He has also floated additional industry-specific levies on pharmaceuticals and semiconductors. 

European and Asian stocks headed for a second straight week of gains on Friday and the dollar eyed its first weekly rise in more than a month, as investors took comfort from signs the U.S. and China were prepared to pull back from their trade war. Wall Street’s main indexes opened slightly lower.

© Thomson Reuters 2025 All rights reserved.



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