Wednesday, July 18, 2018
   
Text Size

Site Search powered by Ajax

Trump threatens new round of $200bn tariffs on Chinese goods

US president says he wants additional tariffs set at 10 percent rate if China refuses to change 'unfair practices'.

Donald Trump

US President Donald Trump has directed the US Trade Representative to prepare new tariffs on $200bn in Chinese imports as the two nations moved closer to a wider trade war, with Beijing promising retaliation.

The tariffs, which Trump wants set at a 10 percent rate, would be the latest round of punitive measures in an escalating dispute over the large trade imbalance between the two countries.

Trump recently ordered tariffs on $50bn in Chinese goods in retaliation for what he claimed is theft of intellectual property.

The tariffs were quickly matched by China on US exports, including lobsters and soybeans, a move that drew the president's ire.

"China apparently has no intention of changing its unfair practices related to the acquisition of American intellectual property and technology," Trump said in a statement Monday announcing the new action

"Rather than altering those practices, it is now threatening United States companies, workers, and farmers who have done nothing wrong."

Trump added: "These tariffs will go into effect if China refuses to change its practices, and also if it insists on going forward with the new tariffs that it has recently announced."

China's Commerce Ministry on Tuesday criticised the latest threat of tariffs, saying it was an "act of extreme pressure and blackmail that deviates from the consensus reached by both parties after many negotiations, and is a disappointment to the international community."

"If the US becomes irrational and issues this list, China will have no choice but to adopt strong countermeasures of the same amount and quality," the ministry statement said.

'Dangerous game of bluff'

Trump said that if China responds to this fresh round of tariffs, then he will move to counter "by pursuing additional tariffs on another $200bn of goods".

It was not immediately clear when the new tariffs could be put in place, as the trade office has yet to identify the Chinese goods to be penalized or conduct a legal review.

The first round of penalties announced by both nations is set to take effect July 6.

The intellectual property sanctions were the latest in a spate of protectionist measures unveiled by Trump in recent months that included tariffs on steel and aluminum imports to the US and a tough rhetoric on trade negotiations from North America to Asia.

The escalation in the dispute with China may also serve as a warning to other trading partners with whom Trump has been feuding, including Canada and the European Union.

Wall Street has viewed the escalating trade tensions with wariness, fearful they could strangle the economic growth achieved during Trump's watch.

Gary Cohn, Trump's former top economic adviser, said last week that a "tariff battle" could result in price inflation and consumer debt - "historic ingredients for an economic slowdown".


blog comments powered by Disqus

Subscribe via RSS or Email:

Donald Trump calls European Union a...

Read More

China vows retaliation for latest $...

Read More

Haiti suspends fuel price hike afte...

Read More

Tariffs: What they are and how they...

Read More

Trade war begins as China strikes b...

Read More

Malaysia halts $22 billion China-ba...

Read More

Donation

Thanks to all of our supporters for your generosity and your encouragement of an independent press!

Enter Amount:

Global_News

Scores of displaced Syrians were turned back as they approached border fence along the Israeli-occupied Golan Heights.

Read More

Featured_Author

Login






Login reminder Forgot login?

Subscribe to MWC News Alert

Email Address

Subscribe in a reader Facebok page Twitter page

Israel pounds Gaza

Thailand cave boys

2018 World Cup