US to slap 10% tariff on $300b more in Chinese goods

US to slap 10% tariff on $300b more in Chinese goods

Trump said in a tweet that the United States would place a 10% tariff on $300 billion in Chinese imports as of September 1. Trump said in a tweet.

The U.S. has already implemented 25 percent tariffs on $250 billion worth of Chinese goods.

Stocks immediately tumbled on the news.

The move comes days after U.S. Trade Representative Robert Lighthizer and Treasury Secretary Steve Mnuchin traveled to Shanghai for a brief meeting about trade with Chinese officials. Trump said last week and this week that China likely wouldn't agree to a trade deal until after the 2020 elections, in part because Beijing would want to see whether he was reelected. More recently, China agreed agricultural product from the large quantities, but did not do so.

Bond prices jumped as traders sought safety.

"Additionally, my friend President Xi said that he would stop the sale of Fentanyl to the United States - this never happened, and many Americans continue to die!".

"The Chinese side confirmed their commitment to increase purchases of United States agricultural exports".

Last year, the US imported $540 billion worth of goods from China.

USA stocks moved broadly lower in early trading on Wall Street Tuesday as President Donald Trump ramped up criticism of China. -China trade deficit. Many economists say that the deficit indicates that US consumers are better off financially than their Chinese counterparts and can afford to buy their exports.

Trump's trade war and its consequences were a key factor in the Federal Reserve's decision Wednesday to cut interest rates in an otherwise healthy US economy.

The president's decision to impose a 10% tax on an additional $300 billion of Chinese imports might have been predicated, in fact, on his confidence that Powell's Fed stands ready to cut rates again.

The Trump administration has struggled to win concrete commitments from China on issues identified past year in its Section 301 investigation, which has also led to retaliatory tariffs on roughly $110 billion worth of American products. In fact, before Trump's Twitter announcement China's Ministry of Commerce told reporters that "Chinese and USA negotiating teams will maintain close communication and intensify trade consultations at the work level in August to prepare for the meeting of chief trade negotiators from both sides in September", according to Xinhua.

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