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US-China Trade War: Trump Threatens China With 10 Percent Tariff On $200 Billion In Goods

DIVYIA ASTHANA | 0
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| June 19 , 2018 , 10:49 IST

US President Donald Trump, barely days after announcing 25 percent tariff on Chinese imports worth $50 billion, on Monday threatened to impose 10 percent tariff on $200 billion of Chinese goods, prompting a swift warning of retaliation from Beijing.

The new tariffs to be imposed by the US are in retaliation of China's decision to retaliate to the tariffs from the US on goods worth $50 billion, by imposing its own tariffs on US goods worth $50 billion.

In an official statement, Trump said that he has asked US Trade Representative Robert Lighthizer to identify Chinese products that would be subjected to the new tariffs.

“After the legal process is complete, these tariffs will go into effect if China refuses to change its practices, and also if it insists on going forward with the new tariffs that it has recently announced,” Trump said.

ALSO READ: US Dollar Value Falls As Trump Imposes 25 % Tariff On Chinese Imports Worth $50 Billion

The reports of the new tariffs, indicating a trade war between two of the biggest global economies sent global stock markets lower and pulled down the value of the US dollar and the Chinese yuan in the offshore market.

China's Ministry of Commerce said that Beijing would fight back firmly with “qualitative” and “quantitative” measures if the US publishes an additional list of tariffs on Chinese goods.

“Such a practice of extreme pressure and blackmailing deviates from the consensus reached by both sides on multiple occasions, and is a disappointment for the international community,” the ministry said in a statement on Tuesday.

“The United States has initiated a trade war and violated market regulations, and is harming the interests of not just the people of China and the U.S., but of the world,” the ministry said.

"If the U.S. becomes irrational and publishes that new list of tariffs, Beijing will take strong countermeasures to safeguard the interests of China and its people," it said.