Third quarter statistics showed a slowdown in inflation and growth, slightly easing fears of an overheating Chinese economy and giving the central bank some leeway over further rate hikes. The Shanghai Securities Journal casts an eye over the central bank’s near-term options

The central government will scrap or slash export rebates on over 2,831 types of goods to cut its escalating trade surplus and ease worsening tensions with its trading partners, the China Business Journal reported. Export rebates will be removed from 553 polluting and energy-consuming goods, including salt, cement, fertilizer and leather products, from July 1. Export rebates on nearly 2,268 low value-added goods will be reduced, including toys and textiles that are popular in America and Europe. The move comes as US lawmakers consider legislation imposing exponentially increasing tariffs on Chinese goods to overcome what they claim is an unfair trade advantage due to the artificially undervalued Chinese currency. China’s May trade surplus hit US$22.45 billion.