Trump will publish a list of goods to be taxed in China this week
Global Forex April 2nd - Monday (April 2), according to Reuters, U.S. government officials said that the Trump administration will announce a list of products to be taxed in China this week. Products, corresponding to export value of 500 to 60 billion US dollars, will take effect after about 2 months.
The list will be announced by the U.S. Trade Representative Office before this Friday, which may increase the degree of tension in the trade relations between the two major economies.
Earlier, U.S. Trade Representative Latschitzer had listed ten major high-tech industries that could cover China’s tariffs when he testified in the Senate. They are the "China Made 2025" plan for the development of industries, including a new generation of information technology, automatic implementation of high-end CNC machine tools and industrial robots, aerospace equipment, new energy equipment, high-speed rail equipment, and bio-medicine.
In addition, White House’s trade adviser Navarro once bluntly stated that Trump’s decree on the tariffs on Chinese goods is aimed at the “China Manufacturing 2025” plan, which focuses on the promotion industry, including artificial intelligence, robotics, and quantum computing.
On the evening of April 1, the official website of the Ministry of Finance of the People's Republic of China stated that with the approval of the State Council, the Customs Tariff Commission of the State Council decided to suspend tariff reduction obligations on seven categories of 128 imported commodities originating in the United States from April 2, 2018 onwards. The tariffs imposed on the basis of the current applicable tariff rates will impose a tariff rate of 15% on 120 items of imported goods such as fruits and products, and impose a tariff rate of 25% on 8 items such as pork and products. The current policy of tax-free and tax-exemption remains unchanged.
An expert from the Institute of International Trade and Economic Cooperation of the Ministry of Commerce on Monday told the Economic Observatory that “the measures to impose tariffs on 128 items in the United States today are only the first step, and the scale and scope are controlled very little. The second and third wave of how to fight back, the strength of the attack, depends on the choice of the United States."
Zhang Yansheng, secretary general of the Academic Committee of the National Development and Reform Commission, said that China has prepared adequate plans to deal with trade wars that the United States has initiated, including commodities such as soybeans, and if China’s actions against US soybeans will allow the Trump administration to bear Big pressure.
Reuters analysis pointed out that people have already begun to worry that China and the United States will fall into a trade war and destroy global economic growth.