As soon as one side announces new tariffs, opposite side counters: The Chinese leadership, according to its own data, wants to levy additional duties on US imports if US government has its recent plans of taxes on goods from People's Republic worth 200 billion Dollar. Then, trade department in Beijing shared price of imports of us products in amount of 60 billion dollars.
Depending on product, new rates of five, ten, 20 and 25 percent are to be set. A total of 5,200 US goods, including coffee, honey, textile goods, helicopters, turkeys and industrial chemicals would be affected. The Beijing government called measures it threatened to be "rational", but at same time reluctant. It maintained that it could, if necessary, continue to do so. At same time, however, it expressed its willingness to come to an amicable settlement with United States in trade dispute.
U.S. President Donald Trump had commissioned his trade Representative Robert Lighthizer in middle of week to consider a customs duty of 25 percent on Chinese imports of 200 billion dollars, instead of previously targeted ten percent. Already on July 6th, US government had imposed tariffs of 25 percent on Chinese goods worth 34 billion dollars. Furr charges on goods worth 16 billion dollars are expected to follow soon. Beijing reacted with similar tariffs on US products.
The Chinese Treasury accused Trump of damaging his customs dispute with world economy. "China is forced to take countermeasures," ministry explained. Foreign Minister Wang Yi said after a meeting with his US colleague Mike Pompeo in Singapore, China wants to seek solutions in talks. POMPEO also made it visible that he wanted to attach tensions. "Cooperation is only right way for United States and China."Customs duties to date without effect
Trump is disturbed by huge deficit of his country in trade with China, but also with EU. However, tariffs introduced have not yet paid off: deficit with China has once again expanded to 33.5 billion dollars in June. The total US trade deficit did not increase as vigorously in June as it had been for over one and a half years: imports exceeded exports, according to US Department of Commerce, by 46.3 billion dollars. That's 7.3 percent more than in previous month. The minus in trade with EU fell by 13 percent.
The US government wants to force China to abandon supposedly unfair trade practices, to open up its markets and to compete more strongly. Trump's economic adviser Larry Kudlow told Fox that China should not underestimate US. The United States, toger with EU, would form a front against China.Updated Date: 04 August 2018, 12:00