China announces $60B of US goods for tariff retaliation

  • China announces $60B of US goods for tariff retaliation

China announces $60B of US goods for tariff retaliation

"The implementation date of the taxation measures will be subject to the actions of the United States, and China reserves the right to continue to introduce other countermeasures", the statement said.

The U.S. already imposed 25% tariffs on $34 billion in Chinese goods in early July, with another $16 billion to be targeted in coming weeks, drawing an in-kind retaliation from China.

China's Finance Ministry unveiled the new tariffs on 5,207 goods imported from the U.S. in a statement on its website yesterday evening.

But Trump raised the stakes this week by asking the US Trade Representative to consider increasing the proposed tariffs on the US$200 billion worth of goods to 25 per cent.

In a statement, the Commerce Ministry said the tariffs would be at rates of 5, 10, 20 and 25 percent.

China called for an end to the trade dispute through talks with the United States, but on May 29, the United States announced another round of tariffs on about $50 billion in Chinese goods.

In the same month, the USA also unveiled a list of US$200 billion worth of Chinese goods that it intends to hit with 10 per cent import duties.

These taxes come as similar levies on agricultural goods have been imposed by the European Union, Canada and Mexico in retaliation to Mr Trump's tariffs on steel and aluminium.

The minister added: "China has to take necessary countermeasures to defend its dignity and the interests of its people". "That's not a good place for them to be vis-a-vis the trade negotiations", according to Kudlow, who is director of the National Economic Council. Washington also wants China to stop subsidizing Chinese companies with cheap loans, claiming that this allows them to compete unfairly.

The $43 billion project is still in development, and the Alaska Gasline Development Corp said on Friday that it believes the "current trade tensions between the United States and China will be resolved well in advance of Alaska LNG exports to China".

With LNG demand expected to skyrocket over the next 12 to 18 months, there are still some two dozen firms seeking to build new LNG export terminals in the United States and tariffs may limit their ability to secure sufficient buyers to finance their proposed projects.

However, speaking to reporters at the White House, Kudlow said there had been some communication on trade "at the highest level" in recent days. LNG's inclusion marks a deployment by Beijing of one of its last major weapons from its energy and commodities arsenal in its fight with Washington.

China is trying to seek an "equal" position in future talks with the US with today's retaliation announcement, said Gai Xinzhe, analyst at the Bank of China's Institute of International Finance in Beijing.

"The U.S.is in a better position to ride through the tariff concerns because of a strong economy", said Sung Won Sohn, chief economist at SS Economics in Los Angeles.