* SSEC +1.0 pct, CSI300 +1.1 pct, HSI +1.0 pct
* HK->Shanghai Connect daily quota used 0.8 pct, Shanghai->HK daily quota used 2.5 pct
SHANGHAI, Sept 19 (Reuters) - China and Hong Kong stocks gained on Wednesday on expectations that Beijing will undertake further stimulus measures to cushion the impact of fresh U.S. trade tariffs on Chinese goods.
** China will use the continuing trade war as an opportunity to replace imports, promote localisation and accelerate the development of high-tech products, state-run People’s Daily newspaper said in a front-page article on Wednesday.
** The administration of U.S. President Donald Trump said on Monday that it would begin to levy new tariffs of 10 percent on $200 billion of Chinese products on Sept. 24, with the tariffs to go up to 25 percent by the end of 2018. China hit back, saying it will levy tariffs on about $60 billion worth of U.S. goods, as previously planned, but cut the tariff rates.
** The CSI300 index rose 1.1 percent, to 3,306.73 points at the end of the morning session, while the Shanghai Composite Index gained 1.0 percent, to 2,726.27 points.
** Hong Kong stocks also rose. The Hang Seng index added 1.0 percent, to 27,348.14 points, while the Hong Kong China Enterprises Index gained 1.5 percent, to 10,715.56.
** Hannah Anderson, Global Market Strategist, J.P. Morgan Asset Management, estimates that the fresh tariff measures will likely mean a 0.1 percent hit to U.S. GDP, and a 0.3 percent hit to Chinese GDP over the next 12 months.
** “But recent Chinese policy changes will significantly mitigate the onshore impact,” Anderson said.
** Property shares surged in China, with a sub-index tracking the sector jumping over 4 percent. Consumer , transport and resources hares shares also strengthened sharply.
** In Hong Kong, market was led by consumer goods stocks and energy shares.
** But ZTE shares fell in both Shenzhen and Hong Kong, after Republican and Democratic U.S. senators introduced a bill on Tuesday that would reimpose sanctions on the Chinese telecom equipment maker if it does not fully comply with U.S. laws and an agreement with the Trump administration.
Reporting by Shanghai Newsroom; Editing by Amrutha Gayathri