US President Donald Trump said on Thursday he was taking steps to authorize new tariffs on $325 billion in Chinese imports as officials prepared for last-ditch talks to avert an escalation of a trade war that threatens to derail the global economy.
With acrimony between Washington and Beijing increasing, there seemed to be little time to salvage what had appeared to be the framework of a tentative deal between the two sides before another round of punitive tariffs are triggered.
The United States is set to increase its existing tariffs on $200 billion in Chinese goods to 25 percent from 10 percent at 12:01 a.m. EDT (0401 GMT) on Friday. Trump said on Thursday he was "starting ... paperwork today" to impose a 25 percent tariff on the $325 billion in Chinese goods untouched by the trade war so far.
China is expected to retaliate against such a move, as it has with previous US tariffs, effectively subjecting all trade between the world's two largest economies to punitive levies. Consumer products, including cell phones, computers, clothing and toys, would be especially hard hit.
Trump, who has adopted protectionist policies as part of an "America First" agenda aimed at rebalancing global trade and boosting US manufacturing, accused Beijing of reneging on commitments made during months of negotiations. "We were getting very close to a deal, then they started to renegotiate the deal. We can't have that. We can't have that," Trump said at an event at the White House.
TENSE TALKS
Chinese Vice Premier Liu He is due to start two days of talks in Washington with US Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin at 5 p.m. EDT on Thursday. Earlier on Thursday in Beijing, China appealed to the United States to meet it halfway to salvage their deal.
Commerce Ministry spokesman Gao Feng said the decision to send Liu to Washington despite the tariff hike threat demonstrated China's "utmost sincerity." "We hope the US can meet China halfway, take care of each others' concerns, and resolve existing problems through cooperation and consultations," he told a news briefing.
Comments
Comments are closed.