Trump administration unveils fresh round of China tariffs

Trump administration unveils fresh round of China tariffs

Trump administration unveils fresh round of China tariffs

The Trump administration will impose tariffs on $200 billion more in Chinese goods starting next week, escalating a trade war between the world's two biggest economies and potentially raising prices on consumer goods ranging from handbags to bicycle tires.

China's Finance Ministry said its tariff increases are aimed at curbing "trade friction" and the "unilateralism and protectionism of the United States".

He also threatened to impose taxes on virtually all of the remaining goods imported from China, amounting to $267 billion a year if China retaliates rather than changing its trade policies.

The US administration said it is giving US businesses a chance to adjust and look for alternative supply chains by delaying an increase to 25 percent on January 1 for the US$200 billion batch of Chinese goods, said two senior US administration officials who briefed reporters on Monday.

On The U.S. duties targeted Chinese goods Washington says have benefited from improper industrial policies. The tariffs will be imposed on thousands of consumer goods, including electronics, food, tools and housewares.

"For months, we have urged China to change these unfair practices, and give fair and reciprocal treatment to American companies", Trump said.

China has previously vowed to retaliate against any further U.S. tariffs.

"Tensions in the global economic system have manifested themselves in the US-China trade war, which is now seriously disrupting global supply chains", the European Union Chamber of Commerce in China said in a statement today.

Rep. Kevin Brady (R-TX, chair of the House Ways and Means committee): "Any time tariffs are imposed I worry that Americans will be forced to pay extra costs - in this case on almost half of United States imports from China", Brady said.

Unlike the first two rounds of tariffs totaling $50 billion, the new taxes launched by Trump would more directly hit American consumers.

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Fang told the Tianjin forum that he hopes the two sides can sit down and talk, but added that the latest US move has "poisoned" the atmosphere.

China's Ministry of Commerce said on Tuesday that it had filed a complaint with the WTO following Washington's latest tariff action.

The U.S. economy appears strong enough to withstand damage from the tariff battle, he said. We have been very clear about the type of changes that need to be made, and we have given China every opportunity to treat us more fairly.

The new tariffs - likely to be at 10 per cent - will apply to more than 1,000 products including smartphones, toys and TVs, which in turn will lead to higher prices for American consumers.

Could Trump's China tariffs make IT more expensive for businesses? However, because China exports more to the U.S. than it imports there are limits on the amount of tariffs Beijing can impose on American goods.

That would mean imposing new taxes on all of the goods the USA imports from China.

The government has outlined a plan to impose further tariffs on roughly $60bn worth of USA goods, and threatened other measures. The policy is apparently meant to make domestic production in the U.S. more competitive, compared to foreign manufacturers.

Adam Posen, a leading trade expert and President of the Peterson Institute for International Economics, said at a forum Monday that the tariff strategy is destined to fail, as it will not resolve trade disputes but will stifle US competitiveness and undermine consumption power of the USA working class.

People who claimed that imposing trade tariffs on China would not hurt the US economy were "fooling themselves", Susan Schwab, who served as the US Trade Representative in the administration of former US President George W. Bush, told an event hosted by the Centre for Strategic and International Studies on Monday.

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