tariffs

China has found the formula to avoid reciprocal tariffs with the US: “dropshipping” of semiconductors

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After one tense climbing in the commercial war between China and the United Stateslast April China announced that it matched Washington imposing 125% tariffs to imports of American products, which of course includes semiconductors. Made the law, made the trap. China has the key to preventing their own tariffs from harming them. The country of origin. It is the key point to prevent their own tariffs from harming them. On April 11, the Chinese Semiconductor Industry Association (CSIA) He published a notice in which the rules to determine the country of origin of semiconductor products were established. According to its norms, the country of origin is determined by the plant in which the wafer has been manufactured and not the country in which they have been designed or where the final packaging has been made. Thus they avoid known as effect Boomerang. The effect Boomerang. It occurs when a tariff designed to punish another country, in this case the United States, ends up harming the economy of the country that imposes it. In response to tariffs imposed by Trump, China matched tariffs at 125%. Although this measure can harm US companies who want to sell their products in China, in the semiconductor sector it is especially delicate since the American chip dependence harms many Chinese companies. Changing the “passport”. This is how some companies manage to escape the Chinese tariff; When importing an AMD chip, an American company, it is not considered an American product but Taiwanés, because it has been manufactured in Taiwan. It is not usual. In fact, for some market analysts It was a surprise Since the country of origin is usually associated with where the product is packaged, not where the factory is located. Why is it important. China is demonstrating that the origin of a product or its “nationality” is not something written in stone, but is something much more fluid and is open to interpretations. This not only affects chips, applies to the entire world supply chain. In July the White House issued a Executive order which established a penalty of 40% for products whose origin has been modified (transsshipping) to avoid tariffs. With this order, the United States is taking measures for the products that arrive, but not for those who come out, although it is very likely that they adapt the legislation in the future. A calculated movement. The movement reminds of the Dropshippingin the sense that the mark of the physical origin is separated from the product, although the objective is different. According to Michael Schulmanresponsible for investments in Running Point Capital, it is “a calculated movement to maintain economic stability and promote foreign investment in local manufacturing.” The affected companies. AMD, Qualcomm or Nvidia outsourcing the manufacture of some of their chips to the TSMC plant in Taiwanso they can dodge the tariff that China imposed as retaliation. On the other hand, others such as Texas Instruments or Intel cannot dodge it because they have their Factories in the United States. Image | Gary Lerude, Stas Knop In Xataka | An industry in the hands of TSMC and Asian factories: the world production map

It will impose tariffs on all chips manufacturers that do not produce in the US

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Donald Trump has been threatening semiconductor manufacturers for almost a year with imposing tariffs if they do not produce their chips in the US. At the end of last January and just a week after returning to the White House, the US president He made this statement: “In the very close future We will impose tariffs to the foreign production of computer chips, semiconductors and pharmaceutical products to return the manufacture of these essential goods to the US (…) went to Taiwan; Now we want them to return. We do not want to give them billions of dollars in The ridiculous Biden program. They already have billions of dollars. “ The “ridiculous Biden program” referred to by Donald Trump is The Chips Law approved in July 2022 by the government of Joe Biden. It is evident that Donald Trump doesn’t like this plan at all. Three months before, in October 2024, I had already charged ferocity against this program of the previous administration In Joe Rogan’s podcast: “We put millions of dollars on the table so that rich companies came, they borrow the money and build chip companies here. And they will not give us the best companies.” At that time the possibility that Donald Trump Unmaved the Chips program If he arrived at the government he was on the table. Chips tariffs are imminent In the middle of last April, integrated circuit manufacturers were able to sigh relieved. The US Customs and Border Protection Office He published a statement in which he officialized that some electronic devices and strategic components, such as chips, were temporarily exempt from tariffs. Of all of them. Of 10% global applied to most of the planet’s countries, and also of the very tariff that penalizes Imports that come from China. It is important that we do not overlook that at that time this office of the US administration warned that the exemption was temporary. “We will put tariffs on the companies that do not come. Very soon we will put a tariff for all of them” And it seems that its end comes. According to ReutersDonald Trump has confirmed just a few hours ago that his administration will impose tariffs on semiconductor imports of those companies that do not transfer their production to the US. And also has specified that they will arrive soon. “Yes, I have discussed it with the people from here. Chips and semiconductors: we will put tariffs on the companies that do not come. Very soon we will put a tariff for all of them,” The US President has asserted before a dinner with the executive directors of the main technology companies. Donald Trump has not anticipated what amount will these tariffs have, but Your statements They are nothing reassuring: “We will put a very substantial tariff, not exaggerated, but substantial with the conviction that if they come to the country, if they are coming, building or planning to come, there will be no tariff (…) but if they do not come, there will be. For example, I would say that Tim Cook would be in a very good shape.” The Director General of Apple was with Donald Trump when he delivered these words, and it is evident that the US president was hinting without any dissimulation that he expects Apple and the large technology companies in the country to manufacture their integrated circuits in the US. They are not going to have another option if they do not want their products to be substantially underwent. More information | Reuters In Xataka | The US will not be able to contain the technological development of China. Experts from the chips industry forecast it

The US tariffs have forced Asus to flee from China. The question is how users will affect us

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The US tariffs are ravage. At the beginning of last April Donald Trump announced that His administration was going to impose tariffs to the importation of products from Most countries with those that the US holds a commercial relationship. China was one of the nations They left worse stops, as expected, which caused governments led by Donald Trump and Xi Jinping to engage in an unprecedented climb of tariffs. In a few days the US administration approved China tariffs of 145%and this last country responded with 125% taxes About US assets. This scenario was unsustainable, so after negotiating both governments they agreed to moderate their tariffs temporarily at 30% and 10% respectively. This is how the panorama is currently, but these two countries will renegotiate these conditions as very late in November. Anyway, 30% tariffs are subject to the products that arrive in the US from China are damaging many companies. Asus is one of them. Thailand, Indonesia and Vietnam are the big beneficiaries, for the moment Asus is a Taiwanese company, but until just a few weeks most of its production came from continental China. This company is one of the largest manufacturers of motherboard and other components for PC of the planet, and the US is one of its main markets. It is very difficult to specify what weight sales in the country led by Donald Trump in the face of their total sales, but we know that in 2023 the American continent represented 23% of the total income of ASUS. And with all probability USA exercised a very important contribution to this figure. “At this time more than 90% of our production has already been distributed to these new regions” Losing its position in the US market is not an option for this Taiwanese company. Their products manufactured in China receive a surcharge when they arrive in the US of 30%, as we have seen, so Asus has made a decision: It is moving 90% of its production outside of China. It is the only effective strategy when avoiding US tariffs. “We are expanding our production bases in Southeast Asia beyond China for both the mother -and -fashioned PCs. We are installing in Thailand, Indonesia and Vietnam (…) at this time more than 90% of our production has already been distributed to these new regions,” has declared A spokesman for Asus. The choice of Thailand, Indonesia and Vietnam is not accidental. Production costs in these three countries are moderate, presumably as much as in China, so Asus’s competitiveness is not going to resent. It is great news for us, users. If this reorganization of its production chain had an upward impact on the cost of their products, consumers would pay it. All consumers, not just those of the US. But a priori this will not happen because manufacturing in Thailand, Indonesia and Vietnam It is no more expensive than doing it in China when the combination of lower wages and the ability to avoid high tariffs in key markets are considered. Image | Andrey Matveev More information | Tom’s hardware In Xataka | The authentic responsible for China can make avant -garde chips is an almost unknown company: Sicarrier

We already know who is going to drink all the coffee that Brazil will not export to the US for the tariffs: China

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If we do not count the water, coffee would be the most consumed drink in the world. It is for his benefits in the agencyby him Caffeine contribution And even for Psychological effects. And a country that has “discovered” coffee is recently China. In fact, consumption has shot in such a way that, in the United States Tariff Vorágineit has become the lifeguard for the main coffee producer worldwide. Brazil. Short. In recent months, the coffee segment has lived A ‘perfect storm’ that has significantly raised the price of the Arabica and Robust varieties. Reasons? Several: storms and droughts that have affected the harvest, difficulties in transport and a demand that could not be satisfied. The last factor to join has been Donald Trump with his tariffs. The threat of tariffs To the main coffee producers, the table has been flying over, but, as he points out Reutersfinally on August 6, a 50% tariff to some Brazilian products. Currently, Brazil sells about eight million sacks annually to the US, assuming a third of the world demand in the North American country each year in a trade valued at 4.4 billion dollars. And we will have to see what happens now that it will be more expensive to buy that coffee. Approaching China more. Brazil not only sells -Mucho- coffee to the United States: it also exports orange juice and a large amount of vaccine meat, among other products, but China is not really so far from the South American country in commercial terms. In fact, in general, it is its main commercial partner. They buy soybeans (70% of the soy that exports Brazil goes to China), vital iron minerals for the huge steel industry and construction of the ‘Asian giant’, oil, meat, cellulose and other products such as sugar, wood or cotton. In June of this year, Brazil exported 440,034 coffee bags to the US for the 56,000 bags exported to China, but the figure will change from now on because, as Reuters confirms, China has approved 183 new Brazilian coffee companies to export their product to the Chinese market. Thirst for coffee. It is something that will come well to Brazil, but that should also influence The cup price In a China where coffee consumption has shot this last decade. It is estimated that its consumption has grown at double -digit rates since 2010, with a growth Annual average of more than 20% that is well above a world average that barely reaches 2%. In 2023, se They consumed Some 5.8 million bags and it is estimated that this 2025 will rise to 6.3 million, a figure that doubles the consumption of 2019 and, although consumption per person is less than in other countries, the calculation is that there are about 400 million people who drink coffee regularly. And growing. Coffee shops like mushrooms. Most of these new consumers are young adults between 25 and 44 years who turn Series of common characteristics. They are inhabitants of large cities with high levels of both education and income. And that popularity that is gaining coffee is due, in large part, to the opening of Thousands of new coffee shops and coffee shops. It is estimated that that Cafeteria boom in China It was more than 50% these last two years, being Shanghai the world capital of coffee shops with about 9,500 shops. And all this translates into a market whose value Keep growingmoving from 38,000 million dollars in 2023 to 43,000 million in 2024. It could be a Starbucks bar, but it’s from Luckin Coffee Changing tastes. There is Other factors that influence that growth of the industry, such as urbanization, the increase in middle class and western influence, with brands such as Starbucks and national competition such as Luckin Coffee turning the drink into a kind of “trend” between new generations. And the “coffee culture” is also planting its seed. It is estimated that instant coffee and drink consumed with others still predominates, as if it were a combined, but the specialty coffee and the consumption of newly ground grain beverages are also making its way to elbows, becoming with more than 40% of the Chinese coffee market in 2023. In short, the ‘thirst for coffee’ in China not only redefines consumption habits, but can also be economic lifeguards for Brazilian producers before an uncertain international scenario. We will also have to see if US consumers will be willing to pay more for coffee or if, as industry personalities such as the Mandamases of the Lavazza group, that consumer, that consumer is already drowned by the price of the cup. Images | Shwangtianyuan, Takeoway, Poon Shuishou Simmonz In Xataka | This Japanese coffee costs the same as a month of rent in many cities. But it is not about the price, but what it represents

It cannot be allowed penalizing with Asml tariffs

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The commercial agreement signed by Donald Trump, the US president, and Ursula von der Leyen, the president of the European Commission, at the end of last week states that the majority of the products imported by the US and manufactured by Europe will have a 15% tariff. However, strategic products will not be subject to any tariff. And the photolithography equipment that designs and manufactures The Dutch Company ASML They have a strategic role for both Europe and the US. “We have agreed to zero tariffs for zero for a series of strategic products,” Clarifies the European Commission statement. “In this agreement all aircraft and their components are included, as well as some chemicals, generic components, semiconductor equipment, agricultural products, natural resources and critical raw materials. And we will continue working to add more products to this list.” The US is a very important market for ASML, so this exemption from tariffs benefits it. Intel, Globalfoundries, Micron Technology, Texas Instruments, Samsung and TSMC are some of its clients in the country led by Donald Trump. These last two companies are not Americans, but They have chips factories in the US. In fact, the exemption of tariffs is so important for these companies as for ASML because the latter is the only company that produces extreme ultraviolet lithography machines (UVE). And they need them in some of their plants to produce avant -garde chips. For Asml your effective monopoly is everything ASML has no competition since its first UVE photolithography team placed on the market. Japanese Canon and Nikon companies, their natural competitors, also tried to develop this machine, but failed in the attempt. The technical and economic resources that were necessary to make it possible were so large that they decided to retire from the struggle with ASML. Free road. Today the most advanced semiconductor manufacturing machines that we can find in the TSMC, Intel, Samsung or SK Hynix plants It produces them ASML. Currently his reign seems imperturbable. Canon has developed a team of nano -impression lithography that it seeks to compete from you to you with the UVE machines of ASML, but for the moment it is not clear that this technology will be able to rival The most advanced team of the Dutch company: the machine of High Opening Photolithography (UVE). Presumably thanks to it they can produce chips of less than 1 nm before this decade expires. The most advanced chips manufacturing machines that we can find in the TSMC, Intel, Samsung or SK Hynix plants produce ASML UVE photolithography equipment is extraordinarily sophisticated. The GPUs for artificial intelligence more advanced from Nvidia; The most powerful soc that Apple or the CPUs with the highest AMD performance are possible thanks to them. Of course, none of these companies make their own chips. They design them, but they are produced by the Taiwanese company TSMC using ASML UVE lithography machines. However, this European Corporation has not developed solo all innovations that have made its most advanced integrated circuit production equipment possible. One of its most important allies is the American company Cymer. This company founded in 1986 specializes in the manufacture of lasers and deep ultraviolet light sources (UVP) and extreme (UVE). It has a very close relationship with ASML for many years; In fact, the role that Cymer manufactures in lithography machines is so relevant than in 2013 ASML bought this company of San Diego with the purpose of investing in it to accelerate the development of the technologies involved in UVE lithography. Anyway, the transport of ultraviolet light from the fountain that produces it to the wafer is only possible thanks to the intervention of the mirrors that the other great ally of ASML designs and manufactures: the German company Zeiss. The role of Zeiss’s optical elements in these lithography equipment is crucial. And it is because they are responsible, leaving aside the most complex details, of moving the UVE light with a wavelength of 13.5 nm from the source that is responsible for its emission to the mask contained in the geometric pattern that is necessary to translate into the silicon wafer. Image | ASML More information | European Commission In Xataka | The US is softening its pressure on China. He has realized that the margin has ended with his maximum rival

Fear of US tariffs

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Spanish farmers are usually as pending from heaven as of the offices in which the policies that will mark their crops are decided. Since Sunday, the latter weigh much more than the first or any drought threat. The agreement signed by the European Commission and the USA throws The elongated shadow Of 15% tariffs on their transatlantic exports, a panorama that the wine or oil sector observes with concern, but also others with important interests in the US, such as The industry of garlic. There is discouragement and above all caution. A percentage: 15%. THE PACT Signed in Scotland by Donald Trump and Ursula von der Leyen has unleashed a wave of reactions at the political and economic level. The reason: to avoid a commercial war of unpredictable consequences and that came to threaten with 50% tariffs To European exports in the US, Brussels has resigned to assume that most of the goods that sell on the other side of the Atlantic support a rate of 15%, which will reduce competitiveness. That is the thick line. Then there is the small print, just as important. For example, everything indicates that the tax of 15% It will not be reciprocal For the US and includes the commitment that over the next few years Europe will buy energy products ‘Made in USA’ worth 750,000 million dollars. Another key is that the pact provides certain exceptions, products that will enjoy a “Zero by zero tariffs”. The problem is that they have not yet been defined. Beyond wine and olive oil. It is known that in that sack of goods with “zero tariffs by zero” “strategic products” will be included for the US, such as chemicals, semiconductor equipment, natural resources and “certain agricultural products.” Which is it? How will the rate be applied to the rest? That is two keys. Shortly to announce the agreement two of the most powerful and higher interest branches in the US, wine and olive oil, soon raised their voice to warn of the damage that would cause them to support a 15%tariff. The Employer of Wine (CEEV) in fact calculates that such a tax would sink its sales 10% in the North American country. Olive oil producers too They have recognized That the 15% rate is “totally negative”, although they are cautious. The wineries and oil mills are not the only ones who have shown their concern. Efeagro has published A chronicle in which it includes the concerns of three other sectors that have also seen how their horizon is complicated with the agreement: the almond, the preserves fishing and especially the garlic, a crucial industry in the Spanish field. Although it may not be as popular as its wine or oil, Spain is a world power In garlic culture and the American A key market. The garlic trembles. At the beginning of the FEPEX year, the Federation of fruit producing associations and vegetables, I calculated That only during the first ten months of 2024 Spain had sent 14,604 tons of garlic to the US, which made it “the main fruit and vegetable exported” by Spain to the country, well above the onion (5,198 t) or the lemon and the lime (1.927 t). Between January and May 2025 that flow has already exceeded the 3,200 t With a value of 15 million euros. They are interesting data, but also show how well it is at the rate. Touched producers. “In the absence of knowing the details of the agreement and knowing if the exports of EU agricultural products would be taxed by this tariff, garlic producers would be one of the most affected, since it is the best -selling product within the fresh fruit and vegetables sector to the US with 3,248 t in the period from January to May, which represents about 70% of the entire Spanish export in that period,” warns The Federation of Spanish Producers. FEPEX recalls that the value of its exports represented during that same period (January-May) 75% of the total noted by the sector. At a considerable distance in volume of merchandise would be mandarin and lemon. “Pants descent”. The restless situation also to farmers dedicated to almond. The Spanish Association of Ecological and Conventional Almond Producers has recognized that the agreement leaves them in a complicated situation and even speaks of “A drop in girdle and pants” of Brussels in accepting that the European fruit that wants to be sold in the US assumes tariffs that will far exceed those who are American in Europe. In statements collected by Agroclmthe association clogs the situation of “unfair and unequal”. “It certifies the betrayal of our European authorities with the European and Spanish agricultural sector.” The US is the great almond producer of the world, with a contribution of about 85%10% light years that the EU represents. Within European production Spain has an outstanding position. I keep it, expectant. Another pending sector that the small print of the agreement signed by Trump and von der Leyen is outlined is that of the fishing retain. Roberto Alonso, from Anfaco-Cytma, Recognize Efeagro that the industry expects to know the technical details of the agreement and “how” 15% at the time of truth will be applied. “We not only export products to the US market, such as octopus, sepias, squid or mussels, we also import raw materials such as the abadejo for surimi or hake, we do not know what tariff they will have.” “The imposition of tariffs has an impact on trade. We will have to wait to know how the market behaves and also the relationships between operators after all knowing,” Alonso emphasizes. When Trump a few months ago he announced that he would impose a 20% tariff to European imports, Anfaco admitted to being “worried” for the weight of the US market for its companies. Only in 2024, he remembered, Spain exported more than 26,000 tons of sea products of different types for a value that was around 290 million euros. Images … Read more

There was a day when buying a luxury watch was a very profitable business. The US tariffs are getting it again

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The second -hand luxury watch market has lived a roller coaster in recent years. After a record time promoted by New millionaires of cryptocurrencies and of the bag, the bubble of luxury watches exploded. Now, factors such as the rebound of cryptocurrencies and changes in the commercial war initiated by the US are reconfiguring the recovery panorama of this exclusive market. 2020: cryptocurrency boom and stock market. Interest in luxury watches not only reflects a passenger fashion. The nature of luxury watches, considered as much as works of engineering art as An alternative investment form which sometimes exceeds the stock markets in profitability, also responds to global economic movements and the search for shelter assets. During the pandemic and the later years, the rise of cryptocurrencies and the good moment of the bag generated a new wave of millionaires. Many of them, driven by the need to invest their earnings in tangible assets, launched a tropel to buy luxury watches. This trend especially affected brands Like RolexAudemars Piguet or Patek Philippe, whose most coveted models were difficult to get in traditional stores due to their limited production. That dramatically increased demand by exceeding the supply. The result: a bubble that led to the second -hand market of these exclusive watches to shoot reaching Duplicate the price They cost new. The collapse of the bubble. This bubble It soon exploded. When financial markets began to show signs of weakness, many of the investors who had acquired luxury watches They decided to sell themsaturating the second -hand market with the pieces that had bought at a price inflated a few months before. The oversight and the lack of buyers caused the watches that were previously sold for twice their original price now barely had a way out, making prices fall to historical minimum values. Stabilization and recovery factors. At present, although the second -hand luxury watches market still remains at modest levels, begins to show signs of moderate recovery. Such and as they highlight in Bloombergalthough the figures are far from the levels reached after the pandemic, the sector begins to recover, partly driven by the renewed interest of cryptocurrency investors after The rebound that has experienced In recent months. The uncertainty about tariffs To European luxury products imposed by the US, including Swiss watches, may be braking that boom, since they affect both the final prices of sale in store, and the availability of products in key markets such as the American. Tariff impact. After the announcement of the tariffs that the US was going to impose on Europe, American luxury watches suppliers reacted immediately. According to published data By Bloomberg, after the “Day of Liberation”, in which the beginning of the Trump’s commercial warthere was an increase in the purchase volume in the North American market of 150% as anticipation at the entrance of tariffs. A reaction that Not even Apple could avoid. However, the next month, purchases fell 25% because simply, suppliers had already bought everything they could and the tariff sanctions of Trump had not appliedwhich caused the supply of new watches in stores to cover the demand. So second -hand market prices have remained stable. The diversification of luxury. At the same time, the stagnation of Sales of luxury products in Asiaespecially in China, it has made luxury watches manufacturers have more stock for European and North American markets. That also contributes to stabilized second -hand prices because there is not so much pressure on the availability of new stores in store. In addition, the rise of high jewelry for men is also contributing to the recovery of the second -hand market of luxury watches develop without shocks. Until relatively recently, watches were the only remarkable jewel in male fashion. However, in recent years The trend has changed and necklaces, bracelets and other jewels are part of male outfits. Not even Mark Zuckerberg He has been able to resist. In 2023, the volume of that market was 8,500 million dollars, but by 2025 it is estimated that it will grow to 9,410 million dollars, indicating that male jewelry is gaining ground and watches are no longer the only option for high purchasing power investors. In Xataka | Casio for Gates, Omega Lunar for Bezos, Patek Philippe for Arnault: What the clock of each billionaire says about him In Xataka | Mark Zuckerberg has put on brown and gold chains to grind more. Surveys say it still falls badly Image | Rolex

After mobiles, cars and chips, China is launching its biotechnological offensive. And the West will not be able to block it with tariffs

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China has just achieved something historical: that an American pharmacist pay 5,000 million dollars for a Chinese drug against cancer. It is the highest figure ever paid by a Chinese medical innovation. Why is it important. This news It is the perfect example of how, in the middle of a war for semiconductors, chips and rare earths, China is beginning to lead an even more strategic industry: biotechnological. Medicines do not know borders or tariffs. The context. In 2011, China approved the first oncological drug developed at home: an improved copy of a western medication. Fourteen years later, a Chinese biespecific antibody threatens best -selling medication in the world, Keytruda, of Merck, which invoice 29.5 billion dollars annually. What has happened. Chinese transformation into biotechnology follows a recognizable pattern. First arrived Betta Pharmaceuticals Pume: A “I” version of Western therapies. It worked equally well, it cost less, but never left China. Then came Beigene Brukinsa: The jump to “I better.” It became the first Chinese oncological drug approved by the US FDA. Today it is sold in 65 countries and generates 2.6 billion dollars a year. The third step was Carvykti by Legend Biotech: A cell therapy that genetically modifies patient cells to attack cancer. Johnson & Johnson associated to take her worldwide. In the foreground. The fourth act is underway with ‘Ivonescimab’ by Akeso Biopharma. This biespecific antibody simultaneously attacks two targets of cancer. Summit Therapeutics He opted 5,000 million dollars for himmaking it the greatest operation of Chinese pharmaceutical license in history. The bet is huge: Ivonescimab intends to dethrone Keytruda as world oncological standard. Global clinical trials will decide if China can create next Blockbuster medicinal. In figures. The numbers show the speed of Chinese advance: 2011: First approved Chinese oncological drug. 2019: First FDA approval for a Chinese drug. 2024: Chinese pharmaceutical licenses grew from 35,000 to 46,000 million dollars. Only five Chinese drugs have achieved FDA approval. Between the lines. Biotechnology implies unique geopolitical advantages against semiconductors. The medications are not blocked with sanctions: they save lives regardless of their origin. Western governments cannot prohibit Chinese oncological drugs without enraging patients, doctors and society in general. China understands and is attracting global pharmaceutical talent with mass financing and flexible regulations. The result: Chinese laboratories developing therapies that Western multinationals buy for a lot of money. Yes, but. Success is not guaranteed. 90% experimental drugs fail in clinical trials. Ivonescimab must demonstrate superiority against Keytruda In non -Chinese patients, something we should not give for granted. In addition, geopolitics can complicate things. Legend Biotech broke links with its matrix for American pressures. And the weather does not help. What is happening now. China has replicated in biotechnology its classic manual in technology: Attract expatriate talent. Generously finance startups. Create national champions Climb globally. The difference: medicines generate less political resistance than chips. It is possible that a striking scenario may occur: Western patients depending on Chinese medical innovations. Irony is perfect: China dominates an industry where its success directly benefits Western citizens. But of course, who captures the economic value is her. Deepen. Akeso’s case is especially emblematic. Its founder, Michelle XiaI felt frustration seeing how the best treatments took decades to reach Chinese patients. And decided to invest the equation: create in China therapies that the rest of the world would need. In Xataka | China is already a power greater than Europe in one of its key industries: the development of medicines Outstanding image | Akeso

The domino effect of tariffs is also being felt in Valencia. Specifically, in the Ford factory

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Ford has drastically trimmed the production forecasts of the new bronco in its Almussafes plant. Of the 300,000 units initially planned, the figure has fallen to 209,000, as published Digital economy citing their own sources. Why is it important. This 30% cut reflects how Trump’s tariff policies are already moving chairs in the European industry before applying. The accuracy of the new figure – 209,000 units compared to the 300,000 round rounds – lets read a very specific calculation between a very specific projected stage between the lines. Between the lines. Suppliers openly speak of the “Trump effect” by explaining these changes. The most important reduction affects precisely the volume allocated to the United States: from 91,000 units per year provided for a much lower but not even pointed out. Ford is adjusting its transatlantic export plans in the face of tariff uncertainty. And that is felt in the Valencian economy, whose GDP depends by approximately 10% of this factory. In detail. The effect on the supply chain is, the redundancy, in chain: Suppliers have to recalculate investments. Prices should be modified based on a lower production volume. Lower production means less industrial capacity required. And that facilitates the transfer of suppliers outside the Almussafes environment. Yes, but. Trump will end his mandate in 2028, but bronco production is planned between 2027 and 2035. That is, three quarters of the manufacturing will be done without him in the presidency. But the car is an industry without much flexibility to modify the decisions that are made now. The threat. Reduce estimates during the award of limited pieces future expansions. If suppliers dimension their capacity for 209,000 vehicles, then increase production will be more complex and expensive. It is not easy to undo steps and make them again. The industry is creating a productive roof based on the most pessimistic stage. Deepen. Ford He is at the same time intensifying his presence in Moroccoparticipating in the Automotive Tangier meetings with the presence of the Moroccan monarch. Its sponsorship contrasts with brands such as Stellantis or Renault, which already manufacture vehicles in the African country, which gives clues of a geographical diversification of the productive strategy. In Xataka | One of the most mythical cars in the history of cinema can be “copied” by anyone. And that has consequences for the industry Outstanding image | Luke Scarpino in Unspash

Tariffs have made Temu an economic experiment in real time: see how far their clients endure

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Trump tariffs have turned Temu into an interesting behavioral economy laboratory. When the tariffs rose to 145%, the Chinese platform did something unheard of: Show exactly why prices uploadedbreaking down the price and explaining the origin of each extra charge. Why is it important. This radical transparency avoided a total collapse. Although Daily users fell 58% and the GMV (gross merchandise value) was reduced by halfTemu managed to retain 40 million users when some predictions talked about a collapse. Honesty over tariffs has transformed a debacle into a manageable crisis. In Xataka China’s rare land block is very delicate for Europe for another reason: high -power magnets In detail. Temu’s strategy is brutally direct. Instead of hiding the increases, they explain: “Imported articles may be subject to import positions. These charges cover all customs -related processes and costs.” A mobile cover went from $ 1 to $ 1.50. It looks like a rise of “only 50 cents”, but it is 50%. It is difficult to resist such a percentage increase. However, $ 1.50 remains a much lower price than American equivalents. The context. Trump eliminated the exemption “of Minimis” which allowed shipments from China without tariffs for packages of less than $ 800. Initially it applied 145% tariffs, then reduced them to 54% for 90 days. 90% of Temu’s business depended on this model that took advantage of the legal lagoon. When it disappeared, the company had to reinvent itself. Yes, but. The experiment has limits. Temu eliminated 3.4 million products from its catalogleaving only 150,000 sent by boat. 20% of vendors went to other platforms or markets. The company reduced its advertising expense in the United States and redirected resources to Europewhere his advertising investment has multiplied by twelve. {“Videid”: “X8RH2E2”, “Autoplay”: False, “Title”: “A very fast air fryer but is not for everyone”, “Tag”: “Webedia-Prod”, “Duration”: “489”} The partial resistance of consumers says a lot about price psychology. When Temu showed total transparency on tariffs, many buyers interpreted the increases as something external to the company, not as Temu’s greed. This perception of “we against the system” translated into an unexpected loyalty between the hard core of users. TeMU is transforming its business model on the fly. Launched the “Model Y2“That allows Chinese merchants to send directly without storing inventory in the United States. The “local to local” model is expanding where American sellers sell locally stored products. Its objective: that 80% European sales come from local vendors to avoid tariffs. The big question. What does the US consumer say that 40 million remain willing to pay almost double for Chinese products? Trump wanted to kill Chinese electronic commerce, but has ended up airing the existence of a huge group of consumers for whom the equation-value equation of Chinese products is still irresistible. Even with 145%tariffs. In Xataka | China has made a drastic decision and unpredictable consequences: prioritizing “its” technology, even worse Outstanding image | Alain G. ShumbushoTemu (Function () {Window._js_modules = Window._js_modules || {}; var headelement = document.getelegsbytagname (‘head’) (0); if (_js_modules.instagram) {var instagramscript = Document.Createlement (‘script’); }}) (); – The news Tariffs have made Temu an economic experiment in real time: see how far their clients endure It was originally posted in Xataka by Javier Lacort .

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