China Issues 15 percent Tariffs to Counter Donald Trump Trade Moves
- AP
Beijing, VIVA – China announced retaliatory tariffs on select American imports and an antitrust investigation into Google on Tuesday, just minutes after a sweeping levy on Chinese products imposed by U.S. President Donald Trump took effect.
American tariffs on imports from Canada and Mexico were also set to go into effect Tuesday before Trump agreed to a 30-day pause, as the two countries acted to address his concerns about border security and drug trafficking. Trump planned to talk with Chinese President Xi Jinping in the coming days.
“It is being scheduled and will happen very soon,” White House Press Secretary Karoline Leavitt said Tuesday.
Presiden AS Donald Trump
- Trump
This isn’t the first round of tit-for-tat actions between the two countries. China and the U.S. engaged in an escalating trade war in 2018, when Trump repeatedly raised tariffs on Chinese goods and China responded each time.
This time, analysts said, China is much better prepared, announcing a slew of measures that go beyond tariffs and cut across different sectors of the U.S. economy.
The government is also more wary of upsetting its own fragile and heavily trade-dependent economy.
“It’s aiming for finding measures that maximize the impact and also minimize the risk that the Chinese economy may face,” said Gary Ng, a senior economist at Natixis Corporate and Investment Banking in Hong Kong.
“At the same time, China is trying to increase its bargaining chips," he added, as quoted from AP site.
John Gong, a professor at the University of International Business and Economics in Beijing, called the response a “measured” one.
“I don’t think they want the trade war escalating. And they see this example from Canada and Mexico and probably they are hoping for the same thing.” he remarked.
China said it would implement a 15% tariff on coal and liquefied natural gas products as well as a 10% tariff on crude oil, agricultural machinery and large-engine cars imported from the U.S. The tariffs would take effect next Monday.
