Trump threatens to impose more trade tariffs on China

Anna Jefferson
June 20, 2018

Until now, China has mirrored Trump's actions, matching Friday's tariff hike with identical charges on the same amount of imports.

U.S. goods may also be boycotted by Chinese consumers.

Meanwhile, the state-backed tabloid Global Times said in an editorial that Trump was gambling with the "US public interest" by escalating the trade row with China.

The ratcheting up of tensions is a blow to sentiment in the struggling US$7.2 trillion equity market, where turnover has been dwindling on concern the trade dispute will hurt China's already-slowing economy.

The 10-year U.S. Treasury note yield touched 2.871 per cent, its lowest since June 1.

That position - along with the authoritarian nature of its political system - gives China significant leverage to stay the course in any trade war.

"Most economists have been unwilling to assume real GDP will be materially impacted by the growing array of trade disputes - primarily because $50 billion to $200 billion is a drop in the vast ocean that is the USA economy".

World Cup Win Trigger Earthquake
But neither the US Geological Survey nor Mexico's National Seismological Service reported an quake in Mexico City that day. It was yet another day in the FIFA World Cup 2018 in which the big guns failed to fire.

People in those swing states are taking notice.

But Oosterveld said he was optimistic that the U.S. and China would ultimately reach a bilateral deal by the end of the year. Pan said market attention turned to China for "signs of further retaliation".

The US announced plans for tariffs this spring, after an investigation into China's intellectual property practices.

"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. "This is the kind of thing that needs to be addressed".

"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. China responded by saying it would hit 659 U.S. products worth Dollars 50 billion.

Stocks fell Tuesday after President Donald Trump asked for $200 billion in Chinese exports to be identified for a fresh round of tariffs. The next round will nearly certainly have to tax some consumer goods to reach the $200 billion target, perhaps making them less politically palatable.

China, also affected by U.S. steel tariffs, denounced Trump's approach of "extreme pressure and blackmail" and warned it would "take strong, powerful countermeasures" if the president enacts his threats.

Michael Avenatti Posts Judge’s Ruling Denying Michael Cohen’s Emergency Request
Wood said in a one-page order that she's considering the request and will postpone the deadline until she rules on it. President Donald Trump said Friday that he's not anxious about his longtime lawyer, Michael Cohen , flipping on him.

Perhaps most importantly, the fast-moving nature of the back and forth means it will be hard to halt. It also scrapped agreements to narrow China's trade surplus with the United States by purchasing more American farm goods, natural gas and other products.

"As I've said from the beginning, China will back off its industrial plans only when USA trade measures are large and lasting enough to threaten the influx of foreign exchange". "It's more rewarding watching the World Cup".

"And of course a far-reaching trade war would be detrimental for everyone in the end, but mainly the countries whose growth heavily depends on foreign trade", she said. None of the tariffs could take effect for 60 days. Only Canada sent the USA more seafood previous year ($3.3bn worth).

Asian stock markets fell following Trump's announcement.

Brent crude futures fell 0.8 per cent to US$74.76 a barrel after rallying 2.5 per cent overnight, while USA light crude futures retreated 0.9 per cent to US$65.27. 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.

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". And he is counting on the getting tough on China play to deliver a win for his base and give Republicans a boost in the midterm elections.

Gerard Pique wishes Antoine Griezmann success after Barca snub
But that did not stop the 27-year-old being part of a television programme, entitled "The Decision " to give updates over his future.

Other reports by

Discuss This Article