- Air China reported Friday a fall in pre-tax profits on a weaker renminbi and higher fuel costs. The company also warned that trade tensions may hurt performance.

For period from six months to 30 June, profit before tax fell 3.24% to RMB 5.01bn, revenue jumped 11.96% to RMB 64.24bn.

The company warned that escalating trade friction between the US and China and the tariffs on B737NG series and B737MAX aircraft, which would be imported by the group from the US would increase to 25%, increasing the group's operating costs.

The trade friction and increase in tariffs could also impact the air passenger and freight transport demand between the US and China, which would weigh on the revenue of the US-China routes, the company added.

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