President Trump Slaps China With Additional $200 Billion Tariffs

President Trump Slaps China With Additional $200 Billion Tariffs

In this Sunday, Sept. 16, 2018, photo, a driver looks out from his trishaw decorated with an American flag and Chinese flags in Beijing.

"Most of our member companies are "in China, for China" - selling goods to Chinese companies and consumers, not to Americans - and thus ultimately boosting the U.S. economy", Jarrett said.

US President Donald Trump escalated his trade war with China on Monday, imposing 10% tariffs on about $200 billion worth of Chinese imports and he warned that if China takes retaliatory action against US farmers or industries, "we will immediately pursue phase three, which is tariffs on approximately $267 billion of additional imports". The duties take effect September 24 at a 10 percent rate.

Why has Trump moved now? As counterintuitive as it might seem, the president sees this fact as ultimately helping USA workers.

China has previously vowed to retaliate against any further United States tariffs.

Of course, after that, the United States' trade deficit with China exploded, so pressure to do something continued to mount on other White House occupants. In August, China exported US$44.4 billion worth of goods to the U.S., a rise of 13.2 per cent from August 2017, contributing 20.4 per cent of total Chinese overseas shipments last month, according to the latest Chinese customs data.

In a victory for Apple and its U.S. customers, smart watches and some other consumer electronics products were removed from the latest list.

But if the administration enacts the additional tariffs it would engulf all remaining US imports from China and Apple products like the iPhone and its competitors would not likely be spared.

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By imposing such a tariff, the official said, the U.S. is not trying to constrain China's growth. "Once again, I urge China's leaders to take swift action to end their country's unfair trade practices", Trump said in a portion of the message more pointedly aimed at China.

The U.S. has complained that Beijing forces American companies doing business in China to transfer technology and intellectual property. US 30-year yields also hit a four-month peak of 3.159 percent, while 2-year yields soared to 2.799 percent, the strongest level in 10 years. The levies focused on industrial products, not on things Americans buy at the mall or via Amazon. Trump has portrayed the import taxes as a winning electoral issue because they're forcing other countries to compromise with the United States. That would mean imposing new taxes on all of the goods the USA imports from China.

If China doesn't make concessions, the new tariffs will then jump to 25 percent, a senior administration official said. Mr. Trump said China has been "unfair" for months.

If an increase goes ahead, 'China will have to take necessary countermeasures, ' said Geng at a regular daily briefing.

Officials in Beijing have already announced that they will retaliate against the USA if the new levies are imposed.

US Treasury Secretary Steven Mnuchin invited top Chinese officials to a new round of talks last week, but thus far nothing has been scheduled. "Fortunately, the USA economy is humming, so we don't have to worry as much about what this will do to our economy".

The week started with early morning tweets from Trump claiming the cost increases due to the tariff spat have been "unnoticeable" and any country not making fair deals will be "tariffed".

Trump also wants to replace the North American Free Trade Agreement, which includes the United States, Mexico and Canada, with a new agreement that would shift more auto production to the US The administration has already reached a deal with Mexico that excluded Canada. Mark Vena, an analyst with technology research firm Moor Insights & Strategy, told the Wall Street Journal today that Apple has the inventory of key components for products, like the iPhone, to get through the holiday but the threats of retaliation by China "could be a serious problem" later on.

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