4/21/2025–|Last update: 4/21/202509:14 PM (Mecca time)
The state -backed Chinese investment funds have suspended its new investments in US private stocks, in the latest reaction to the trade war launched by President Donald Trump, the British Financial Times reported from informed sources.
The newspaper quoted 7 executives in private stock companies, familiar with the matter as saying that the state -backed funds have withdrawn from investing in the US -based private capital funds in recent weeks.
3 officials added that these steps are in response to pressure from the Chinese government.
Some executives added that some Chinese funds are also seeking to exclude them from private stock investments in American companies, even if these investments are by the acquisition groups of their headquarters elsewhere.
The change in the approach to the United States comes at a time when China bears the American customs duties that have been announced in the past three weeks, which threaten to reduce trade significantly between the two largest economies in the world.
Trump imposed new customs duties of 145% on Chinese exports, and Beijing responded with customs duties by 125%.
Several executives of the acquisition companies said that Chinese investors have changed their approach to US private investment funds since the start of the trade war, and added that they will not make new financing obligations to American companies.
One of them added that some are retracting the allocations they were planning to present, in cases where they did not make a final commitment yet.
The Chinese Investment Corporation is among the funds backed by the country that withdraws, according to the British newspaper quoted two sources, which they described as familiar with the details.
In recent decades, Chinese sovereign wealth boxes have pumped billions of dollars in many of the largest American capital groups, including Blackston, TPG and Carlal Group.
US commodity purchases
In the context, Bloomberg stated that China has reduced its imports of many American commodities sharply last month, and in some cases reached scratch, with the intensification of the trade war between the two largest economies in the world.
LNG purchases and wheat were among the most affected, as it decreased to zero in March, according to Chinese customs data issued yesterday, and the United States formed 17% of China’s imports of wheat last year, and 5% of liquefied natural gas.
China imposed a reprisal customs duties ranging between 10% and 15% on US energy products in February, at a similar level on agricultural goods in March, and China’s purchases are likely to diminish after the escalation of the trade war in early April.
Other American agricultural products witnessed sharp declines in their import towards China in March, and US cotton imports decreased by 90% compared to the same month last year to reach more than 14 thousand tons, and corn imports decreased to less than 800 tons, its lowest level since February 2020.
Soybeans imports
But soybeans violated this trend, as 12% rose to 2.44 million tons, reinforcing its dense imports in the first two months of the year, and the largest importer of soybeans in the world usually depends on American supplies until the South American crop is available in the spring.
In another context, American LNG purchases, a 36% raw petrochemical material, decreased to 1.02 million tons, while charcoal shipments used in the steel industry decreased by 62% to 208 thousand tons.
However, crude oil imports rose 25% to 542 thousand tons, in line with a large jump in total imports, although the United States barely reached the list of the top ten in terms of classification of Chinese suppliers.
While the minerals were not subject to the new Chinese customs duties in March, copper flows were affected by the Trump administration’s pledge to consider imposing customs duties on the metal, which led to a significant increase in American prices.
This contributed to the decrease in the imports of China from the American copper scrap, which decreased by more than half to reach a little more than 22,000 tons, while the centers’ shipments decreased by 38% to about 19 thousand tons.
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warning
China accused Washington of misusing customs duties and warned countries against concluding broader economic deals with the United States at its expense, thus ascending its accent in the midst of a commercial war that increases the intensity of the two largest economies in the world.
The Chinese Ministry of Commerce said that Beijing will strongly oppose any party to conclude a deal at the expense of China and “will take firm anti -action.”
This came in a response from the ministry to a diploma report quoted informed sources that the Trump administration is preparing to pressure countries that seek discounts or exemptions from customs duties from the United States to reduce trade with China, including the imposition of financial sanctions.
The Chinese Ministry of Commerce confirmed that China is determined and able to protect its rights and interests, and is ready to enhance solidarity with all parties.
Beijing will hold a unofficial meeting of the United Nations Security Council to accuse Washington of descending and “undermining global efforts for peace and development” through the use of customs duties as a weapon.
Earlier this month, the American commercial actor, Jameson Jarir, said that nearly 50 countries contacted him to discuss the exorbitant additional drawings imposed by President Donald Trump.
