Trump threatens new tariffs on Chinese imports

Randal Sanchez
June 23, 2018

To retaliate for that move, Trump is calling for 10 percent duties on an additional $200 billion in Chinese products.

Trump is betting that the prospect of huge and widespread tariffs will force Beijing to agree to act to reduce its trade surplus with America ($336 billion in goods and services last year) and stop its forced technology transfers, cyber-theft and other aggressive policies. "China has been taking out $500 billion a year out of our country and rebuilding China".

The tension between the United States and China has regularly resulted in declines for the Dow, which continued a six-day losing streak with the drop Tuesday, the longest since March 2017.

THE QUOTE: "Caution appears to be the key word for Asian markets today as investors digest the potential implications of the U.S".

"He's upping the ante", Wendy Cutler, a former USA trade negotiator who is now at the Asia Society Policy Institute, said of Trump. With concerns growing on Wall Street, the Dow Jones industrial average closed down almost 300 points - more than 1 percent - on its sixth straight losing day.

-China Business Council. Parker suggested that such steps might include delaying or denying licenses required by US companies in China.

The Business Roundtable, representing companies with more than $7 trillion in annual revenue, said the administration's feud with China "will only make it harder to achieve a fair and level playing field for American companies to compete in China".

"Further action must be taken to encourage China to change its unfair practices, open its market to United States goods and accept a more balanced trade relationship with the United States", Trump said in a statement.

Trump warned on Monday that Washington would impose a 10 percent tariff on $200 billion of Chinese goods after Beijing's decision to raise tariffs on $50 billion in US goods.

Centre wants terrorism to end in Kashmir: Rajnath Singh
Omar hit back, saying he had no doubt about his MLAs and referred to the BJP's alleged horse-trading bids in Jammu and Kashmir . The BJP said it had become "untenable" for the party to continue in the alliance government.

Rather than changing its "unfair practices" in the acquisition of American intellectual property and technology, China imposed retaliatory tariffs on American goods, he noted, reminding China that he will not stop if Beijing continued to retaliate.

It gave no details, but China's lopsided trade balance with the United States means Beijing doesn't import enough American goods to stick with its strategy of matching the scale of Trump's tariff increases.

Neither side has yet imposed tariffs on the other in their growing dispute over technology and the US trade gap. But the rhetoric is intensifying after several rounds of high-level trade talks that White House economic adviser Peter Navarro said yielded no progress.

Last week, the Trump administration said 25 percent tariffs on $34 billion worth of Chinese imports will take effect July 6.

"Every asset class is affected now by the U.S". The figures differ from those provided by Chinese customs, which showed China imported US$153.9 billion of USA goods and the United States purchased US$429.8 billion of Chinese products.

The Department of Commerce said it would impose new import duties on a common alloy aluminium sheet after finding that Chinese firms were selling it in the U.S. more than 167 per cent below cost.

China's commerce ministry reacted swiftly, saying: "If the United States acts irrationally and issues a list, China will have no choice but to take comprehensive measures of a corresponding number and quality and take strong, powerful countermeasures".

"China could target USA firms through tax and regulatory policies", Citigroup said in a report.

Tariff hikes imposed so far by Trump affect a total of $109 billion of imports, according to Morgan Stanley.

Other reports by

Discuss This Article