China blasts Trump's new tariff threat as 'blackmail'

Anna Jefferson
June 20, 2018

Pompeo on Monday described USA actions as "economic diplomacy", which, when done right, strengthens national security and global alliances, he added. "We've been treated very unfairly".

"Trump is betting that China understands they have more to lose in the tariff war because we import more from them than they do from us".

"Including crawfish and shrimp would provide a much needed economic boost to the Louisiana seafood industry, which provides the finest seafood in the world", Kennedy said.

USA companies caught in the middle of the trade fight between the world's two biggest economies "are not immune" and could see their sales and earnings come under pressure if the situation worsens and commerce slows, Erlam said. More than 800 exports, about $34 billion worth, will be subject to tariffs starting July 6.

Trump already showed his cards with the underwhelming China trade deal he touted last month. "I'm relying on the self-interest of people across the Unites States", he said.

Trump threatens to impose more trade tariffs on China
But Oosterveld said he was optimistic that the U.S. and China would ultimately reach a bilateral deal by the end of the year. Perhaps most importantly, the fast-moving nature of the back and forth means it will be hard to halt.

-China trade conflict. Some Wall Street analysts are raising concern about the impact of a full-blown trade war, but others, like Height Capital Markets, are confident President Donald Trump is taking an aggressive stance now to force China "to back down quickly". -China Business Council in Beijing, said China would "begin looking at other ways to enforce action against U.S companies that are operating in the market". The US imported $2.7bn worth of Chinese seafood in 2017 compared to the $1.3bn worth of seafood it sent to China, based on data from the National Oceanic and Atmospheric Administration. "This is the kind of thing that needs to be addressed".

If the U.S. goes ahead with the new $200 billion tariffs, they are more likely to be directly felt by individuals than the previous round. The rollout of this latest set of actions was quick and decisive, leaving little opportunity for negotiation.

China's government has denounced President Donald Trump's threat of tariffs on $200 billion of Chinese goods as blackmail and warned it would respond with "strong countermeasures".

"It's kind of a lose-lose for both the people in China and the USA soybean industry, and the soybean farmer", said Bardole. "Whenever you get in this tit-for-tat escalation and retaliations, it generally is not good".

That "also exposes Trump's weakness: He must apply his leverage as soon as possible to avoid negative repercussions from a drawn-out trade dispute".

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The Commerce Ministry criticized Trump's order to prepare tariffs on $200 billion of Chinese goods as blackmail.

"Just ask yourself: Would China have allowed America to do to it what China has done to America?" he said later. The price of laundry equipment has spiked 17% in the last three months after years of decline, according to Bureau of Labor Statistics data.

North American stock markets fell in late-morning trading, with the S&P/TSX composite index falling 68.77 points to 16,314.86, after 90 minutes of trading.

Read the full report at the New York Times. At the same, Trump's tax cuts and higher spending have actually exacerbated the trade deficit, which he ostensibly hopes to reduce with his trade agenda.

The plans have elicited a mixed political reaction, drawing praise from Democrats and opposition from Republicans, who typically favour free trade policies. "In many respects, it's helpful to our economy".

China announces tariffs on $50B of US products
The U.S. imported more than $2.7 billion in Chinese seafood previous year , and the U.S. exported more than $1.3 billion to China. Although Pompeo was in Beijing to debrief the Chinese on the Singapore summit, the trade friction was never far from the surface.

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