China plans to impose 25 percent tariffs on roughly $50 billion of USA goods in retaliation for the Trump administration's announcement Friday that it would impose duties of the same amount on $50 billion of Chinese goods, according to a report from the official news agency Xinhua.
The implementation date for imposing additional tariffs on the remaining 114 items, covering chemical products, medical equipment and energy products, will be announced later.
In mid-May, both sides announced a cease-fire after two rounds of trade negotiations.
"The impact of trade conflict between the world's two largest economies will lead to serious consequences for economic growth and job creation and hurt those that are most vulnerable across the globe", Cargill Global Corporate Affairs Vice President Devry Boughner Vorwerk said Friday.
"The United States can no longer tolerate losing our technology and intellectual property through unfair economic practices", Trump said in the statement. Trump said that with the increased tariffs he hopes to cut the trade deficit with China by $100 billion.
Trump announced on Friday that the new china tariffs will not initially include the full $50bn. "We can't do that", Trump said later Friday morning on "Fox and Friends" broadcasting from the White House North Lawn.
Tensions eased temporarily after Chinese negotiators agreed at talks in Washington in May to buy more American farm goods, natural gas and other products.
The media response came as China announced tariffs on $34bn of U.S. goods including agricultural products, cars and marine products which will also take effect from 6 July.
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Security around Kim's hotel remained tight, suggesting the North Korean leader may return after the summit. "President Obama said that North Korea was our biggest and most unsafe problem".
China and U.S. moves to impose unilateral sanctions undermine and destabalise the WTO, he says.
China's finance ministry said it would respond with tariffs "of the same scale and strength".
In a statement, he warned of "additional tariffs" should China hit back with tit-for-tat duties on American goods and services exports.
China's response was swift, as it announced hours later that it too would be levying retaliatory tariffs on $50 billion worth of U.S. goods - including soy products and automobiles. Specifically, Beijing makes US companies that want to do business in China jump through more hoops than domestic companies.
The U.S. imports a LOT more Chinese goods than the Chinese import in regards to American goods and its easy to see above.
The new tariffs would take effect from July 6, according to the office of trade representative Robert Lighthizer.
Trump frequently cites the imbalance as the justification for a punitive trade policy toward China, Canada, Mexico, the European Union and other trading partners. The move has stoked business fears of a sustained trade war that could raise prices on American consumers, while heartening some lawmakers who have long called for a tougher stance against Beijing. Those tariffs were introduced under Section 232 of the U.S. Trade Expansion Act.