U.S. escalates trade war with new $200 billion China tariff list

What Is the Endgame for the Trump Trade Wars?

Trump Announces New Taxes on TVs and Air Conditioners

US President Donald Trump is likely to publish this week a list of $200 billion in additional Chinese products to be hit with tariffs, possibly as early as later on Tuesday, an administration official said.

The tariffs could take effect after public consultations end on August 30, according to a statement from the U.S. Trade Representative's office Tuesday.

Calling Washington's behavior irrational, Beijing warned that the U.S. is, in the first instance, hurting itself with protectionist measures and constant attacks on free trade. It said, "the Chinese government will be forced to impose necessary countermeasures" to protect its "core interests".

The United States began imposing tariffs on $34 billion in Chinese goods at 12:01 a.m. EDT (0401 GMT) on Friday. Other high-profile items such as mobile phones have so far been spared.

Stocks in China and the rest of Asia tumbled overnight, spreading to Europe after markets opened.

While the tariffs wouldn't go into effect for at least two months, they would be much more aggressive in the range of goods they'd apply to. "The U.S. side ignored the progress, adopted unilateral and protectionist measures, and started the trade war".

Fresh US tariffs would also come at a time when the Trump administration is seeking Beijing's help reining in North Korea's nuclear-weapons programme. "The negative impact of the trade friction has already appeared".

"The behaviour of the USA is hurting China, hurting the world, and hurting itself", a spokesperson for China's commerce ministry said in a statement.

"There certainly is going to be pronounced risks mainly because we've now moved on to the tit-for-tat-for-tit phase of it", said Vishnu Varathan, head of economics and strategy at Mizuho Bank in Singapore. The administration says its tariffs are created to punish China for what it calls unfair trade practices, theft of intellectual property, and "forced technology transfers".

The Trump administration is readying tariffs on another $US200 billion of Chinese imports - ranging from burglar alarms to mackerel - escalating a trade war between the world's two biggest economies.

Announcing proposals for the new tariffs, US Trade Representative Robert Lighthizer said: "For over a year, the Trump administration has patiently urged China to stop its unfair practices, open its market, and engage in true market competition".

Traders work on the floor of the New York Stock Exchange (NYSE) in New York, U.S., July 11, 2018.

The Retail Industry Leaders Association said new tariffs on Chinese imports would punish American families by driving up prices.

Li Chenggang, an assistant minister at the Commerce Ministry, had earlier told reporters that the United States is escalating the trade war, which is an irresponsible move.

The US listed $200bn (£150bn) worth of additional products it intends to place tariffs on as soon as September. The US hit Chinese exports worth $34 billion with a 25 per cent tariff last week and Beijing infuriated the White House by...

Latest News