The commercial war between the world’s first and second economy is stepping up and taking a new turn this Friday, as Beijing is reacting strongly through series of announcements. According to China’s Ministry of Commerce release on its official website, the country is preparing to retaliate from the escalating trade war with tariffs on about $60 billion worth of U.S. Goods. The import taxes would vary in prices from 5 percent to 25 percent, according to the same source.
Four lists of US goods are targeted, one for each of the prices proposed. Several goods are agricultural connected, with others on several different metals and chemicals. The execution date of the tax measures will be subject to the activities of the US, and “China reserves the right to continue to present other countermeasures”, China’s release stated, based on a translation.
China declared it’ll impose these new tariffs if the U.S. Places more tariffs on Chinese imports. President Donald Trump is considering the U.S. to Increase Proposed tariffs on $200 billions of Chinese goods to 25 percent from the 10 percent rate his government is presently applying, the government announced Wednesday. The White House is attempting to utilize Duties, among other instruments, to push China to abandon alleged unfair practices and reach a possible new trade deal.
Room for negotiations?
Trump aims to balance the desire to force Beijing to the negotiating table with attempts to prevent escalation at a potentially devastating trade warfare. However, the release from China’s Ministry Of Commerce is leaving a door open for negotiations with the US, as it states that “China always believes that consultation on the basis of mutual respect, equality and mutual benefit is an effective way to resolve trade differences.” No official reaction from the White House has been released after the news broke out.