US and China slap huge $34 billion dollar tariffs on one another
After weeks of speculation, the impending trade war between the US and China has begun.
China and the US both originally slapped billion dollar tariffs on each other’s imports, and most recently the US has listed US$200 billion worth of additional products it plans to place under tariffs by September, 2018.
President Donald Trump has also warned of more tariffs if China retaliates again.
Markets globally have already felt the pinch of the early blows that The White House believes are a response to unfair trade practices by China.
The US has ordered China to stop practices that - allegedly - encourage transfer of intellectual property - design and product ideas - to Chinese companies.
US Trade Representative Robert Lighthizer said: "As in the past, the United States is willing to engage in efforts that could lead to a resolution of our concerns about China's unfair trade practices and to China opening its market to US goods and services.
"In the meantime, we will remain vigilant in defending the ability of our workers and businesses to compete on a fair and reciprocal basis."
Despite the tough talk from the US government, it is understood that most US and global companies do not want a trade war as there is no endgame in sight, meaning the trade war could impact all regions’ trade negatively.
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