US, China tariffs may be 'new normal'

Pauline Gross
September 24, 2018

The White House's newest tariffs will reportedly make more than 100 additional vehicle parts more expensive, and the president has threatened to raise the rates on those tariffs. China responded with tariffs on $60 billion worth of American products, including clothing, furniture and auto parts. The Chinese billionaire also promised to create 1 million jobs in the United States.

U.S. President Donald Trump said on Monday that he would impose 10 percent U.S. tariffs on about $200 billion worth of Chinese imports. "They still have many opportunities despite the trade frictions between China and the U.S.", Ma said.

On Wednesday, Foreign Ministry spokesman Geng Shuang said he had no information on a possible trade delegation and questioned US sincerity about wanting new talks, noting that the last round was followed immediately by the activation of new tariffs.

In his statement, Trump noted that the tariff actions being taken are a result of the Section 301 process that the USTR has been leading for more than 12 months.

Meanwhile, United States and China have been locked into bitter trade disputes. There can be no compromise with the United States if that is the case.

Some economists and trade analysts suspect that Trump has bigger goals than just getting China to change its aggressive high-tech industrial policies.

"We urge the Chinese government to implement a quick series of bold reforms that send a clear signal to its trading partners and members of the Chinese Party", said Allen. "But, so far, China has been unwilling to change its practices".

China cancels trade talks with U.S. as new tariffs loom
Some analysts say there is also a risk that China could allow its currency to weaken again to cushion the blow to its exporters. Beijing has imposed rates of 5-10 percent and warned it would respond to any rise in US tariffs on Chinese products accordingly.

Donald Trump heads to Carolinas to look at Hurricane Florence damage
Jordan is donating $1 million each to the American Red Cross and Foundation For The Carolinas' Hurricane Florence Response Fund. Two of the SC victims were mental health patients who drowned on Tuesday when a van carrying them was swept away by floodwater.

Corbyn says he would support second Brexit referendum
Corbyn, an Arsenal supporter, is on Merseyside due to the Labour annual conference taking part in the city this weekend. Mr Corbyn said he would be "bound" by any formal decision but refused to say whether he would support leaving the EU.

The United States is scheduled to slap tariffs on $200 billion in Chinese imports Monday, adding to the more than $50 billion worth that already face US import taxes.

Trump seems to think that China's economy is now so wobbly that the tariffs will push it over the edge, forcing it to come to the U.S. begging for mercy.

"The immediate impact will be to raise prices on consumers and tax American business and manufacturers", Walmart said, according to the CNN Money report. The Trump administration has increased import tariffs on several products coming from China, making the goods expensive. All these things are pretty much items being purchased by consumers daily, so the impact is seen in a different light. Companies that import Chinese materials and parts are facing higher prices. The MFN rule requires all countries to be treated equally unless specific exceptions are agreed, and the U.S.is also covered by MFN status.

All valid points indeed.

Walmart has warned the Trump administration that its latest batch of tariffs could make it more expensive for US households to buy items ranging from cribs to Christmas lights.

The Global Times tabloid, which is affiliated to the People's Daily, said the trade war was a chance to pursue greater global recognition of its financial markets and that it could open its A-share market more to listings by Western firms.

Other reports by GizPress

Discuss This Article

FOLLOW OUR NEWSPAPER