Trump tariffs to hit $200 billion of China imports on September 24

Lloyd Doyle
September 18, 2018

It's the latest move in Trump's push against "unfair" trade policies, which economists fear will prove counterproductive.

The Trump administration in July and August already imposed 25 percent tariffs on $50 billion on Chinese goods, sparking in-kind retaliation.

"Apple prices may increase because of the massive Tariffs we may be imposing on China - but there is an easy solution where there would be ZERO tax, and indeed a tax incentive".

In the latest iteration, almost half of Chinese imports face tariffs, including consumer products that range from furniture to building products and seafood.

If China retaliates, Mr. Trump threatened to impose tariffs on an additional $267 billion worth of goods.

Speaking at the White House, Trump promised "some very positive news" and said that "it will be a lot of money coming into the coffers".

Trump administration to impose tariffs on approximately $200 billion Dollars worth of imports from China effective September 24.

Smart watches and Bluetooth devices were removed from the tariff list, along with bicycle helmets, high chairs, children's auto seats, playpens and certain industrial chemicals.

This has raised concerns that China could retaliate with non-tariff trade measures.

The two countries are fighting over Beijing's ambitions to supplant American technological supremacy.

Trump initiated the fight to punish Beijing for what he says are China's predatory tactics to try to supplant USA technological supremacy.

While Beijing can cope with this by using domestic fiscal and policy easing to maintain a decent growth rate of 6.6 per cent in 2018 and 6.4 per cent in 2019, the spillover effect from the trade war will be amplified as companies facing higher costs "will gradually diversify or shift supply away from China", Li wrote.

Trump administration is seeking systemic changes from China which Beijing has failed to do. But Trump quickly backed away from the truce. But, in doing so, they can't take actions that deliberately discriminate against other countries; actions that hurt American workers. The tariffs focused on industrial products, not on things Americans buy at the mall or via Amazon.

When Cohn tried, using data and history, to argue against Trump's conviction that trade deficits with other countries made the United States the loser, the book reports Trump as saying: "I know I'm right". The administration is targeting a variety of products - from sockeye salmon to bamboo mats - forcing US companies to scramble for suppliers outside China, absorb the import taxes or pass along the burden to their customers.

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China's yuan currency has weakened by about six percent against the United States dollar since mid-June, offsetting the 10 percent tariff rate by a considerable margin. But many analysts say his combative actions seem unlikely to succeed. "But, so far, China has been unwilling to change its practices". "China trade war, which is now seriously disrupting global supply chains", the European Union Chamber of Commerce in China said in a statement on Tuesday.

"In the short term, we will have higher prices and fewer jobs than we would have had otherwise", Sohn said.

"If the USA launches any new tariff measures, China will have to take countermeasures to firmly ensure our legitimate rights and interests", foreign ministry spokesman Geng Shuang told reporters during a regular press briefing on Monday.

"For months, we have urged China to change these unfair practices, and give fair and reciprocal treatment to American companies", said President Trump.

While Trump wants United States companies to shift their manufacturing from China and elsewhere to the USA, not only would that make the U.S. companies higher cost and less competitive in global markets but it could take years to build the manufacturing plants or re-engineer supply chains.

Other reports by Iphone Fresh

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