China-US trade war: Beijing risks INFURIATING Trump with $60BILLION tariff retaliation

Lloyd Doyle
May 13, 2019

The move was announced in a statement by the Tariff Policy Commission of China's cabinet, the State Council.

The announcement followed an increase of US duties on $200 billion of Chinese imports to 25% from 10% in the increasingly bitter dispute.

President Donald Trump on Friday instructed U.S. Trade Representative Robert Lighthizer to begin the process of readying tariffs on the $300 billion or so of Chinese goods not yet subject to tariffs.

The UBS analysts said the next escalation could come in as little as one month as USA regulators prepare to follow through on Trump's threat to extend penalty tariffs to all Chinese goods. He also reiterated that Beijing "broke the deal".

In Beijing, a spokesman for the Chinese Foreign Ministry said the country would "never surrender to external pressure". The charges will thereby be raised on most of the goods listed on a previous retaliation list effective last September.

"We have said many times that adding tariffs won't resolve any problem".

Traders are on tenterhooks, digesting a slew of details from the weekend that could favor safer-haven assets and mean more volatility as the week progresses.

The administration past year handed farmers aid worth $11 billion to offset losses from trade conflicts.

On Twitter, Trump warned Xi that China "will be hurt very badly" if it doesn't agree to a trade deal.

Trump told reporters Monday that a new program to relieve US farmers' pain is "being devised right now" and predicted that they will be "very happy".

"I want to say this", Levin said, pointing to Pentagon and other intelligence reports that China aspires to dominate the rest of the world as the top superpower by 2049. It imposed 10% charges on $60 billion of imports but left other goods unaffected, possibly to protect Chinese companies that depend on US technology and components.

And the president has publicly complained about government subsidies that lower Chinese companies' operating costs, along with a sustained effort to devalue the Yuan, tactics that make Chinese products progressively cheaper to buy.

Regulators threatened "necessary countermeasures" in response to Trump's increase in tariffs Friday on $200 billion of Chinese imports.

Global equities fell sharply on Monday as hopes of an imminent trade deal between the world's two largest economies were crushed.

U.S. President Donald Trump, U.S. Secretary of State Mike Pompeo, U.S. President Donald Trump's national security adviser John Bolton and Chinese President Xi Jinping attend a working dinner after the G20 leaders summit in Buenos Aires, Argentina December 1, 2018.

Forecasters warned Friday's hikes could disrupt a Chinese recovery that appeared to be gaining traction. That would push annual growth below six per cent, raising the risk of politically risky job losses. "Get this done because the longer we're involved in a tariff battle or a trade war, the better chance there is that we could actually enter in a recession".

"It's no big deal".

Other reports by Iphone Fresh

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