Trump orders to raise tariffs on $300 bln worth of Chinese goods

Chinese Vice Premier Liu He talks with U.S. Treasury Secretary Mnuchin and Trade Representative Lighthizer as he leaves trade talks in Washington

Trump orders to raise tariffs on $300 bln worth of Chinese goods

US and Chinese negotiators resumed trade talks Friday, May 10, 2019, under increasing pressure after President Donald Trump raised tariffs on United States dollars 200 billion in Chinese goods and Beijing promised to retaliate.

Trump, however, said he would prevail in the upcoming election and warned that a trade deal would be "much worse" for China if it was negotiated during his second term. "The U.S. will be compelled to respond", Glaser said.

If trade talks continue to sour, investors should expect volatility to surge.

Meanwhile, President Donald Trump has said that the deal may be worked out in about a month. Chinese state media has reported that the next round of talks is expected to take place in Beijing.

The trade war has weighed on the Chinese economy.

"It certainly raises the chance which you will not have any deal".

Back in Tokyo, Deputy Chief Cabinet Secretary Kotaro Nogami has informed colleagues that Japan expects the US and China will resolve their trade disputes through dialogue. "Make or produce your goods and products in the good old USA", Trump tweeted.

The first round of tariffs in 2018 were on all imported washing machines and solar panels - not just those from China.

Britain has urged both sides to step back in the dispute, warning that an all-out trade war would have dire consequences for both the United Kingdom and global economy. "It's inevitable." China hasn't yet detailed how it will retaliate to the latest increase in tariffs. Still, the authorities did not provide details on that would be on China's negotiating team and exactly when discussions would restart.

The latest Trump move came as China's top trade negotiator, Vice Premier Liu He, on Friday concluded his two days of trade talks with the U.S. team led by Lighthizer.

The president argued that Americans could become more reliant on the country's farmers.

Earlier on Wednesday, Trump argued along the same lines, tweeting that China's reported detour from the draft deal with the U.S. is a sign that it is pinning its hopes on Democratic presidential frontrunner Joe Biden or another one of "the very weak Democrats".

China clarified its list of demands before signing an agreement. Further talks are possible, but there's no immediate plan for the next round, according to a person familiar with the negotiations.

At the White House, Mr Trump said he had received "a lovely letter" from Chinese President Xi Jinping and would "probably speak to him by phone". In both countries, some are asking whether the mistrust has escalated beyond the point of no return and could last well beyond Trump's time in office.

"Xi is" determined about party-state control over important sectors of the economy", Lam said. Economists in China estimate a similar impact.

With negations stalled, Trump has been portraying the trade deal as something Beijing wants much more than Washington.

The negotiators are searching for a means to hold Beijing it makes.

The interview came less than a day after the Trump administration hiked tariffs on $200 billion worth of Chinese goods. For some of these, over 9 out of every 10 purchased by American shoppers are Chinese-made.

Trump also seems to be calculating that Xi needs.

But Trump has an incentive to achieve a deal.

The trade war has weighed on the global economy over the past year and created uncertainty for businesses and consumers.

Although Trump has maintained that his trade policies will boost US manufacturing, some in the sector are concerned that the policies could backfire if the dispute with China is not resolved soon. "Looking forward, we are still cautiously optimistic", Liu said.

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