China sets retaliatory tariffs on US$60 billion in United States goods

Sep 19, 2018, 12:30
China sets retaliatory tariffs on US$60 billion in United States goods

So far, the United States has imposed tariffs on $50 billion worth of Chinese products to pressure China to make sweeping changes to its trade, technology transfer and high-tech industrial subsidy policies. "And reducing the reform deficit should also help reduce tensions in the ongoing trade war".

Those included high-profile consumer products, such as smart watches, bicycle helmets, play pens and baby vehicle seats.

He said Mr Trump wants an offer from China to change that quickly.

"If the tariffs go to 25 percent at the beginning of the year, you will have had nearly six months to get your business ready for that", a senior administration official told reporters on Monday.

China remains unafraid of the "extreme measures" taken by the United States, the People's Daily newspaper said in a front-page article in its overseas edition on Wednesday.

It has also divided his advisers between China hawks like US Trade Representative Robert Lighthizer and US Secretary of the Treasury Steven Mnuchin, a former banker who is seeking a trade deal.

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The oil market is "tightening up", but the Trump administration could still spoil oil prices if its aggressive trade war against China drags down economic growth. These tactics include hacking USA companies to steal their trade secrets and forcing them to turn over their know-how in exchange for access to the Chinese market.

Meanwhile, China announced countermeasures on another $60 billion worth of us goods Tuesday morning.

Last year, China imported just $130 billion of goods from the USA, leaving Beijing with now only around $80 billion of imports to work with, but Trump's latest move will see 10 percent tariffs slapped on $200 billion of Chinese imports. Beijing's tariffs have hit soybeans and other farm goods from states that voted for Trump in 2016.

"Our concern with these tariffs is that the U.S. will be hardest hit, and that will result in lower United States growth and competitiveness and higher prices for USA consumers", Apple said in a letter commenting on the proposal.

Beijing had previously warned that it would target $60 billion in USA goods if Trump made good on his threat to impose the new tariffs.

On Monday, the Communist Party backed Global Times newspaper warned that if Trump went ahead with the tariffs, China would not just play defense. "Once again, I urge China's leaders to take swift action to end their country's unfair trade practices".

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On the call with reporters, senior administration officials declined to comment on when talks might restart with their Chinese counterparts.

The Trump administration in July and August already imposed 25% tariffs on $50bn on Chinese goods, sparking in-kind retaliation. "The US is one of the world's main LNG suppliers, but other countries are capable of supplying China- including Australia, Qatar, Malaysia and Russia", Stephen Comstock of the American Petroleum Institute told S&P Global Platts.

In competitive House districts, 42 percent of those surveyed said tariffs would be "good" for jobs in the US, while 57 percent responded that they would be "bad".

"We hear that there is a move to make the SOEs stronger, bigger and better", Harborn said.

Placing tariffs on wireless routers would raise costs for tech companies in several ways.

Still, he said, the USA economy appears strong enough to withstand the damage.

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In a letter to the USA trade representative, Dell, Cisco, Juniper Networks and Hewlett Packard Enterprise said that tariffs on of their networking equipment could hurt their bottom lines and lead to possible U.S. job losses.