"Trump may be frustrated with China, but the answer isn't for U.S. companies to ignore a market with 1.4 billion consumers", Myron Brilliant, executive vice president of the U.S. Chamber of Commerce, said in a statement.
Trump's announcement came after China earlier Friday threatened to impose additional tariffs on $75 billion in American goods, including soybeans, cars and oil.
Beijing's planned tariffs will add as much as 10 per cent on top of existing rates after Trump said he would impose tariffs on another US$300 billion worth of Chinese products.
WASHINGTON, Aug 24 ― The world's two largest economies, China and the United States, yesterday exchanged blows in the latest escalation in their trade war that has roiled supply chains and whipsawed financial markets. The Dow Jones Industrial Average was down about 1.7% shortly after midday, according to Barron's, while the S&P 500 dropped 1.8%, and the Nasdaq Composite was down 2.2%.
U.S. officials would need to weigh the impact of China's likely retaliation and how United States companies would be affected.
Since the beginning of the conflict in March 2018, Trump has been playing the victim card, routinely labeling China a currency manipulator that steals USA technologies and kills thousands of Americans with synthetic opioids, in between the futile trade talks. "It's hard for me to understand why you call the chairman of the Federal Reserve, who by the way you appointed to that job, as an enemy and likening him to the president of China". The new tariffs are set to be imposed in two stages on 1 September and 15 December. Our presence in China allows us to reach Chinese customers and develop overseas markets.
On Aug. 23, following new retaliatory trade policy from China, Trump announced that he will raise the tariff rate from 10 percent to 15 percent on the $300 billion goods, while the $250 billion tariffs on Chinese imports will now be taxed at 30 percent instead of 25 percent.
China's Commerce Ministry issued a statement Saturday condemning Trump's threat, saying, "This kind of unilateral, bullying trade protectionism and maximum pressure go against the consensus reached by the two countries' heads of state, violate the principles of mutual respect, equality and mutual benefit, and seriously damage the multilateral trading system and normal worldwide trade order".
"In response to the measures by the U.S., China was forced to take countermeasures", the state council said in a statement.
In private, Trump and his aides have been scrambling to avert an economic downturn, The Washington Post has reported.
Trump's blistering Twitter screeds called into doubt chances for a quick resolution to the trade war between the world's economic superpowers, which by the end of the year will cover almost all imports and exports exchanged between the two countries. "He was given a few different options on things he could do and ultimately that was what he decided", a senior White House official said.
China announced its latest retaliatory tariffs on about $75 billion worth of United States goods.
Baier noted how supporters of Trump have expressed praise of Trump's strategy of imposing tariffs on China in response to China taking advantage of the U.S.in previous administrations. Amazon.com Inc, UPS and the U.S. Postal Service to search out and refuse all deliveries of the opioid fentanyl to the United States.
It wasn't immediately clear what Trump meant, as the president doesn't have the legal authority to force such corporate decisions.