Thursday, 20 September, 2018

US May List Tariffs On $200 Billion More Chinese Products

U.S. Soybean Vessel Was Loaded for China Just Before Duties US May List Tariffs On $200 Billion More Chinese Products
Russell Knight | 11 July, 2018, 02:34

A business group says European companies that export from China are changing the global flow of their goods to avoid higher American tariffs in a sign of the spreading impact of the U.S.

The Trump administration on July 6 imposed 25 per cent duties on $US34 billion in Chinese imports, the first time the president has implemented tariffs directly on Beijing after threatening to do so for months.

The United States has made a decision to impose tariffs on $200 billion worth of imports from China after efforts to negotiate a solution to the trade dispute failed to reach an agreement, senior administration officials said on Tuesday.

"This is where a painful situation gets more painful", said Phil Levy, a former White House economist in the George W. Bush administration.

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Clothing and shoes, like those imported by Ivanka Trump's company, were spared. But the new tariffs will not be imposed until later this summer, after a public comment period.

And now her goods are avoiding the sweeping tariffs enacted by President Trump in his trade war with China. "This new round of proposed tariffs takes the fight onto yet another level from which it is going to be hard for either side to make a graceful retreat", said Eswar Prasad, former head of the International Monteary Fund's China division.

Trump ran a campaign promising to renegotiate various US trade deals, including the North American Free Trade Agreement (NAFTA). "Unfortunately, China has not changed its behavior - behavior that puts the future of the USA economy at risk".

In the case of the China-U.S. squabble, Trump imposed aluminum and steel tariffs in early March in order to protect those American industries. "That is nearly certainly a serious miscalculation".

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