China plans tariffs on $60bn of imports to counter Trump

Hannah Rogers
August 6, 2018

Washington also threatened to slap 25 per cent tariffs on another US$200 billion worth of Chinese products, which Beijing countered with a list of US$60 billion of imports from the U.S. that may be subject to additional 5 to 25 per cent tariffs.

The move was in response to the United States threat of increasing the proposed additional duty on $200 billion worth of Chinese products from 10 percent to 25 percent. That's in stark contrast to the US' one-size-fits-all tariff approach, which was ill-considered, they said. It said retaliatory duties of between 5 and 25 percent will be imposed on 5,207 products "if the US side persists in putting its tariff measures into effect".

China plans to impose a 25 percent tariff on imports of us -manufactured solar cells - but the world's biggest manufacture of solar cells now imports few of the cells used to make panels that generate power.

China's decision to threaten $60 billion of US goods marks the first time this year that Beijing has not tried to match Washington's tariffs dollar for dollar.

President Donald Trump will keep pressing China for trade concessions, a top White House economic adviser said Friday, as the Asian nation continued the tariff escalation by announcing further retaliatory actions against US goods.

Chinese and U.S. flags are set up for a signing ceremony during a visit by U.S. Secretary of Transportation Elaine Chao at China's Ministry of Transport in Beijing, China April 27, 2018.

For example, he claimed that China was financing advertisements to convince Americans to stop Trump's trade agenda.

A commentary in the official Xinhua news agency said: "The United States has repeatedly resorted to threatening and deceitful routines, trying to force China to compromise, both overestimating its own bargaining power and underestimating China's determination and ability to defend its national dignity and the interests of its people". Every country on earth wants to take wealth out of the US, always to our detriment.

PRESIDENT Donald Trump defended his use of tariffs that have inflamed tensions with China and Europe, telling an audience of diehard supporters on Saturday that playing hardball on trade is "my thing".

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Sanders said no second meeting is "locked in" as a follow-up to the Singapore summit in June, but they remain open to discussions. USA officials say they have already contacted the family of a service member whose dog tag was returned.

China proposed retaliatory tariffs on $60 billion worth of USA goods ranging from liquefied natural gas (LNG) to some aircraft yesterday, as a senior Chinese diplomat cast doubt on prospects of talks with Washington to solve their bitter trade conflict given current United States behaviour.

"The United States violated consensuses reached by multiple bilateral negotiations and once again unilaterally escalated trade frictions", the commission said, noting that the move severely violated World Trade Organization rules, hurt the global industrial chain and free trade mechanism, substantially damaged the interests of China and the Chinese people, and will also have negative impacts on the economic development of the world including the United States.

Wang also hit back at comments by top White House economic advisor Larry Kudlow, who ridiculed China's tariff threat as "weak" and said the world's second-largest economy was in significant "trouble".

US President Donald Trump has said he is determined to reduce the large US trade deficit with China.

Trump's measure of success at his OH speech appeared to be how much tariffs are hurting China.

The conflict with China is taking on a "cyclical" pattern with roughly two weeks of escalation followed by two weeks of relative calm, said Mark Rosenberg, chief executive at Geoquant Inc., a firm that uses computer models to gauge political risk.

Third, it is demanding stringent limits and reductions in China's current policy requiring United States nextgen technology transfer from USA businesses operating in China.

Others, including the US Trade Representative Robert Lighthizer and White House trade adviser Peter Navarro, insist that the reduction in the US trade deficit while necessary is by no means sufficient.

Still, two senior diplomats did meet earlier on Friday, on the sidelines of a regional summit in Singapore.

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