(Bloomberg) —

a sign in front of a building: The Vanguard Group headquarters are seen in Malvern, Pennsylvania, U.S.

© Photographer: Bloomberg/Bloomberg
The Vanguard Group headquarters are seen in Malvern, Pennsylvania, U.S.

Vanguard Group Inc. returned about $21 billion in managed assets to government clients in China as part of a global shift to focus on low-cost funds for individual investors, according to people familiar with the matter. BlackRock Inc. and Amundi SA are being considered to manage a portion of the funds returned by Vanguard.


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The assets include about $10 billion that Vanguard had managed for each of China’s State Administration of Foreign Exchange and the China Investment Corp. sovereign wealth fund, the people said, declining to be identified as the matter is private. More than $1 billion was returned to the national pension fund, they said.

The currency regulator will probably transfer oversight of its money to other managers including BlackRock, while the pension fund is likely to pick Paris-based Amundi to manage some of its accounts, the people said. CIC folded the Vanguard funds into its own index investment platform, they said.

Vanguard, the National Council for Social Security Fund, BlackRock and Amundi declined to comment. CIC and China’s currency regulator didn’t immediately reply to requests for comment.

Vanguard, the world’s second-largest money manager, is overhauling its Asia strategy, pulling out of Hong Kong and Japan to focus on individual investors in faster-growing markets. While China remains key for Vanguard as the nation opens its markets wider, the exit from the institutional business hands an unexpected windfall to competitors as they also step up their forays into the 100 trillion yuan ($15 trillion) asset management market.

Read more on BlackRock’s recent expansion in China

Vanguard is trying to move away from managing funds for institutional clients, a business that’s more demanding and less profitable, the people said. The sovereign clients’ relationship managers

As President Donald Trump fights to win battleground state Michigan, there is evidence that his tariff policies have hurt his chances. Steel and agriculture are important industries in the state and billions of dollars have been lost due to tariffs.

In March 2018, the Trump administration imposed a 25% tariff on steel in order to protect American steel mills from foreign competition. The tariffs decreased demand for steel from the auto industry and other consumers, hurting steel plants.

Great Lakes Works, one of the largest mills in Michigan, laid off 1,250 workers in June and shut down steelmaking operations. The plant is owned by Pittsburgh-based U.S. Steel.

A Reuters analysis reveals that Michigan steelmakers have issued layoff notices to 2,000 workers since the tariffs were implemented. 

The trade war has also hurt Michigan farmers. When Trump announced new tariffs on $60 billion of Chinese imports in May 2019, some farmers spoke out against the move. 

“The noose is getting tighter,” president of the Michigan Agri-Business Association Jim Byrum told the Detroit Free Press that month. “We have lost market opportunities. We’re not shipping soybeans around the world like we normally would. We’re not shipping them to China. China was our biggest soybean consumer, and they’re not moving.”

The Agriculture Department launched the Market Facilitation Program (MFP) to help farmers in 2019. The program distributes payments to farmers negatively impacted by the trade war. 

A report by the Government Accountability Office published in September found Michigan farmers received less on average from the MFP than farmers in other states.

Tariffs Hurt the Heartland notes that Americans have paid over $60 billion in tariffs since the trade war began. In Michigan, more than $2 billion in tariffs have been paid by taxpayers while 1.1 million jobs in the state are supported by

By Rajesh Kumar Singh

a building that has a sign on the side of a road: FILE PHOTO: Entrance to the U.S. Steel Great Lakes Works plant is seen in Ecorse, Michigan

© Reuters/Rebecca Cook
FILE PHOTO: Entrance to the U.S. Steel Great Lakes Works plant is seen in Ecorse, Michigan

CHICAGO(Reuters) – President Donald Trump promised a new dawn for the struggling U.S. steel industry in 2016, and the lure of new jobs in Midwestern states including Michigan helped him eke out a surprise election win.


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Four years later, Great Lakes Works – once among the state’s largest steel plants – has shut down steelmaking operations and put 1,250 workers out of a job. A year before the June layoffs, plant owner United States Steel Corp called off a plan to invest $600 million in upgrades amid deteriorating market conditions.

Trump’s strategy centered on shielding U.S. steel mills from foreign competition with a 25% tariff imposed in March 2018. He also promised to boost steel demand through major investments in roads, bridges and other infrastructure.

But higher steel prices resulting from the tariffs dented demand from the Michigan-based U.S. auto industry and other steel consumers. And the Trump administration has never followed through on an infrastructure plan.

Michigan’s heavy reliance on the steel and auto industries puts Trump’s trade policy in sharp focus ahead of the Nov. 3 presidential election in this battleground state. Democrats say they aim to recapture the votes of blue-collar workers they lost to Trump four years ago – one key factor in his victory over Hillary Clinton. Trump won Michigan by less than one percent of the statewide vote total. The competition for the votes of often-unionized manufacturing workers – who historically have voted Democratic – will be just as fierce in the battleground states of Wisconsin and Pennsylvania, political analysts say.

a large brick building with grass in front of a house: FILE PHOTO: U.S. Steel Great Lakes Works plant is seen behind a working-class neighborhood in Ecorse, Michigan

© Reuters/Rebecca Cook
FILE PHOTO: U.S. Steel Great Lakes Works plant is seen behind a working-class neighborhood in

The normalizing of coronavirus is happening even as the crisis grips the nation. The change arrives in big and small ways, some of them loudly, some not.

Connecticut opens up restaurants to 75 percent capacity on Thursday. That’s a high-profile normalizer.


BELDING, MI — State regulators will likely fine a manufacturer that caused multiple toxic chlorine gas releases in a residential area $115,000 and forbid the company from using the chemical which caused the releases.

Michigan Department of Environment, Great Lakes and Energy officials announced Monday morning, Oct. 5, the proposed measures against Kassouni Manufacturing Inc. as part of a settlement order. The settlement order, as proposed, will remain in effect for at least two years.

EGLE is accepting public comments on the proposed order through Nov. 4. Barring significant public comment on the settlement, the order fining the company and forbidding it from using the gas-releasing chemical will go into effect following the public comment period.

The proposed order relates to multiple fires and minor chlorine gas releases in summer 2019.

No one was injured during the fires and gas releases, but nearby residents reported the stench of chlorine in the air and a burning feeling on their skin as a thick fog blanketed the area.

State regulators at the time said KMI repeatedly mishandled the chemical, called trichloroisocyanuric acid, responsible for the fire and gas releases. KMI used the chemical to produce pool-chlorinating tablets.

KMI, located next to a residential area of Belding at 815 S Front St., also manufactures other products not related to the chemical, like its ice melt for roofs.

Trichloroisocyanuric acid catches fire and releases chlorine gas when exposed to small amounts of water. Rainwater entered the building through holes in the roofs. City officials previously said the company put tarps under the holes to direct rainwater into containers.

Related: Belding manufacturer scrutinized for chemical fires loses supplier, purchaser

Following the June and July 2019 fires, KMI was ordered by the court to temporarily not use or store the chemical at its facility following a