Chinese exports accelerate as fresh USA tariffs loom

  • Chinese exports accelerate as fresh USA tariffs loom

Chinese exports accelerate as fresh USA tariffs loom

For its part, China has threatened to ratchet up the tit-for-tat trade war by slapping tariffs on another $60bn of American imports.

After Liu visited Washington later that month, the nations released a joint statement pledging to reduce the US trade deficit with China, among other things.

The latest $16 billion list from the United States will hit semiconductors from China, even though numerous basic chips in these products originate from the United States, Taiwan or South Korea.

The US decision to levy 25 per cent tariffs on the same value of Chinese goods is "very unreasonable", and China will have to retaliate to protect its rightful interests and the multilateral trading system, China's Ministry of Commerce said in a statement.

Administration officials believe that the $505 billion Americans spend on Chinese products each year gives them leverage over China.

The tariff will mostly apply to industrial equipment, like tractors and chemicals.

April 4: China rolls out a listof more than 100 USA goods worth roughly $50 billion that are subject to retaliatory tariffs. Chinese imports of US crude oil in May, for example, averaged 427,000 bpd, more than any other destination and surpassing Canada's 289,000 bpd imports, EIA data shows.

Still, disagreements between the two major economic powers run deeper than just the trade balance and tensions remain over market access, intellectual property, technology transfer and investment.

Earlier this month, China included for the first time liquefied natural gas (LNG) in its list of goods up for a potential 25-percent import tariff, should the United States impose additional tariffs on Chinese imports.

July figures showed the US' trade deficit with China decrease only slightly.

Customs will begin collecting the duties on the products from 12:01 a.m. on August 23, the Ministry of Finance said in a statement on its website on Wednesday. It would likely have to impose penalties on US companies doing business in China to make up the difference.

But the Chinese government can employ other tools if the conflict continues.

"We'll know China is really feeling the pressure when they start stirring nationalist sentiment or calling for boycotts against USA", said Bruce Andrews, managing director of Rock Creek Global Advisors.

After months of escalation, business communities in both countries are wondering when and how the trade confrontation will end.

Talks between China and the US have failed to produce an agreement on the issue, prompting China to retaliate with tariffs of its own and US President Donald Trump to escalate his threats.

"Trump has given China little wiggle room to save face and come to the bargaining table", he said. Schneider National Carriers Inc. and other firms testified during a hearing July 24-25 in Washington that there are no United States manufacturers and that the containers are nearly exclusively made in China.