Published: Tue, September 03, 2019
Economy | By

Trump warns China against dragging its feet in trade talks

Trump warns China against dragging its feet in trade talks

The United States began imposing 15 per cent tariffs on a variety of Chinese goods on Sunday - including footwear, smart watches and flat-panel televisions - as China put new duties on USA crude, the latest escalation in a bruising trade war.

In the currency market, the dollar dipped slightly against the yen to 106.12 yen.

Stock futures in the U.S., markets in Asia and oil prices fell early on Monday. "You can see that China has continued to open not for the U.S.'s sake and interest, but for China itself".

Demand for credit has stayed weak as the economy slows and the trade war escalates, but policymakers have remained reluctant to boost credit growth in a major way. The report said the tariffs on daily goods are to hit US consumers directly, and it also showed Washington is nearly at the end of its wits."The US economy can not sustain its superficial prosperity and is facing a bigger risk of decline", the editorial said. -China Business Council, 17 percent of American companies operating in China said they reduced or stopped planned investment in the country in the past year.

Americans may start to feel the pinch, according to some studies.

Negotiations are due to resume this month after a sharp deterioration in the year-long trade war in August.

The date for a visit of Chinese officials to the USA capital hasn't been set, though that's not necessarily a sign it still won't happen, said the people, who asked not to be identified because the discussions are private.

President Xi said this would stop - it didn't.

China has repeatedly decried United States pressure tactics, with signs that its officials are girding for a prolonged confrontation. One thing that "White House tariff men should learn is that the Chinese economy is strong and resilient enough to resist the pressure brought about in the ongoing trade war".

Trump said on Twitter in June that Democrat Joe Biden would be "China's Dream Candidate, because there would be no more Tariffs".

A variety of studies suggest the tariffs will cost United States households up to $1,000 a year and the latest round will hit a significant number of U.S. consumer goods. That estimate is in the low range because it was based on a duty rate of 10%, before Trump increased it to 15%. JLab Audio CEO Win Cramer, for example, told Bloomberg that 90% of its products are subject to the 15% tariffs introduced today. About 40% of the company's sales come in the fourth quarter, he said."If I had hair, I'd be pulling it out", Cramer said. USA benchmark WTI crude was down 33 cents at $54.77 a barrel.

The tariffs are also harming the global economy. From Sunday, 1,717 USA exports will face the extra Chinese tariffs of 5% and 10%.

The trade war between the USA and China shows no sign of coming to an end anytime soon.

In retaliation, China started to impose additional tariffs on some of the USA goods on a $75 billion target list. Starting in mid-December, American wheat, sorghum, and cotton will also get a further 10% tariff. The tariffs, ranging from five to ten percent on $75 billion-worth of American imports, are split into batches, just like the US' ones, with the second round set to be imposed mid-December.

A J.P. Morgan study found that Trump's tariffs will cost the average U.S. household $1,000 a year.

In China, the authorities began charging higher duties on American imports at midday Sunday, said employees who answered the phone at customs offices in Beijing and Guangzhou.

Like this: