Trump preparing additional tariffs on $200B in Chinese goods

Trump's Zero Tariff Solution

US fires next shot in China trade war

The move is in response to what the Trump administration says is China's unfair trade practices, and comes after both nations already announced tariffs on US$50 billion of each other's products.

Administration officials said the tariff fight is aimed at forcing China to stop stealing American intellectual property and to abandon policies that effectively force US companies to surrender their trade secrets in return for access to the Chinese market.

The office will accept public comments and hold hearings on the plan this coming August 20-23 before reaching a decision after August 31, according to a senior administration official who briefed reporters on condition of anonymity. "We can not turn a blind eye to China's mercantilist trade practices, but this action falls short of a strategy that will give the administration negotiating leverage with China while maintaining the long-term health and prosperity of the American economy".

Mr. Trump hit US$34-billion worth of Chinese imports with 25-per-cent tariffs starting last week, with another US$16-billion worth to be added shortly.

Mr Trump has been considering tariffs against China since his officials concluded in March that Beijing violates United States intellectual-property rights, such as by forcing American firms to hand over technology.

"For many years, China has pursued abusive trading practices with regard to intellectual property and innovation", Mr. Lighthizer said in a statement on Tuesday.

Tuesday's announcement included a 205-page public notice and list of the individual products that could be hit by the new 10-percent tariffs. US officials insist China's retaliatory tariffs are unjustified.

Chinese retaliation: China has threatened to retaliate dollar-for-dollar if the Trump administration imposes a new round of tariffs.

Robert Holleyman, the USA official in charge of trade with Asia during former president Barack Obama's second term, described the tariffs as "tax hikes on US imports".

Chinese tariffs have already taken a toll on US exports such as soybeans, which raises questions about the possible political repercussions President Trump could face from farmers who supported him in the 2016 election.

"China is forced to strike back to safeguard core national interests and the interests of its people", the Commerce Ministry said in a statement to CNN last week.

China also seems to be projecting confidence that it can withstand political turmoil, said David Rank, former deputy chief of mission at the U.S. Embassy in Beijing. That's why Trump can slap tariffs on them just because he feels like it.

Chinese officials also encouraged businesses to reduce their reliance on US goods, urging them to shift orders for products such as soybeans and automobiles to suppliers in China or countries other than the United States. "Moreover, they will blame any economic troubles on Trump and the United States".

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