No more free reign to China, says Trump after announcing tariffs

No more free reign to China, says Trump after announcing tariffs

No more free reign to China, says Trump after announcing tariffs

"China is seeking a path toward harmonization of man and nature", a Geneva-based WTO official quoted China's trade delegate, cited by Reuters.

China could slap tariffs on $3 billion worth of U.S. goods in the latest move to increase trade tensions between the two countries. On Thursday, Trump himself admitted that's pretty much his plan.

China's newly appointed economic czar told U.S. Treasury Secretary Steven Mnuchin on Saturday that Beijing is ready to defend its interests after President Donald Trump announced plans to slap tariffs on almost $50 billion in Chinese imports. He gets to decide the winners and losers. "Just as China wishes to deepen its economic ties with the rest of the world in President Xi's 'New Era, ' Trump's China policy may result in a divided world, risking not only global economic recovery but also stability". It took the Chinese only a few hours to retaliate by announcing countertariffs.

The American tariffs have been criticized by many countries.

Trump also announced he was directing the USTR to pursue dispute settlement in the WTO to confront China over its policies that result in unfair treatment for U.S. companies and innovators trying to do business in China. -China relations. It followed a seven-month investigation by USTR into allegations China violates USA intellectual property, under the seldom-used section 301 of the 1974 Trade Act.

But fundamental changes such as joint venture requirements that often can not be negotiated without technology transfers and industrial policies aimed at acquiring and investing in more USA technology firms will not come without significant protracted pressure on China - and economic pain for the United States.

Low-priced manufacturing in mainland China has enabled US technology brands to take the global market by storm and rake in massive profits, said an executive at a Chinese unit of Hon Hai, also known as Foxconn. Investors may have been particularly skittish after Trump looked into the camera during the signing and told the world, "This is the first of many". "But Trump does not want American people to know this". For now, most are begging him to give them a break. This waiting periods will give industry lobbyists and USA lawmakers a chance to water down a proposed target list that runs to 1,300 products, many in technology sectors. Most traditional industry stocks fell by less than 1 percent.

"The American and Chinese governments should resolve existing trade frictions in a way that averts a trade war and promotes open markets and fair economic exchange", said AmCham Shanghai President Kenneth Jarrett".

Trump thrives on keeping people guessing, and right now, even some of his top staff members aren't sure what will happen on trade.

The potential weakening of business conditions is what Wall Street fears.

"The tariffs on steel and aluminum imports from the following countries are suspended until May 1, 2018", the White House said in a statement, listing European Union members states, Argentina, Australia, Brazil, Canada, Mexico and South Korea.

China is unlikely to respond until Washington acts but might launch an investigation of imports of USA corn and soybeans "as a warning shot", said Parker.

Influential Republican Senator Lindsey Graham said he was "very pleased" with the moves, but other Republicans called on Trump to be judicious in designing the tariffs, warning of consequences for American consumers.

The United States buys little Chinese steel or aluminum, but analysts have said Beijing would feel obligated to take action to avoid looking weak. They started as tariffs on the entire world. Aside from the EU Mr Lighthizer said Argentina, Australia, Brazil, Canada, Mexico and South Korea would be exempted. It urged Washington to negotiate a settlement but set no deadline.

Among the main concerns at the WTO over the Trump administration's move on steel and aluminum is that it is citing national security as a reason.

"China's response should follow the principle of a precision strike", wrote Mei Xinyu, a researcher at a Commerce Ministry think-tank in an opinion piece for China Daily. But he has also shown a lot of willingness to make a big announcement and then quickly scale back how bad the bite is.

"It now provides us with the breathing room to find a more permanent solution".

Trump will probably be able to spin the tariffs as a win - for him.

It remains to be seen, however, whether the tariffs will alleviate either problem.

Economists said the impact of the tariffs announced until now may be limited.

Related news

[an error occurred while processing the directive]