China places tariffs on another $16B worth of U.S. goods

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Bags of chemicals being unloaded at a port in Zhangjiagang in China's eastern Jiangsu province on August 7, 2018. In July, Washington imposed tariffs on $34 billion worth of Chinese goods. And President Donald Trump has threatened to impose tariffs on virtually everything China sells to the United States. For instance, the major complaint is about the theft of USA intellectual property by Chinese firms.

Lighthizer said there were 279 new goods to be targeted in the dispute over China's policies promoting theft of American technology. Since then, Washington and Beijing have raised the stakes by threatening more punitive trade measures in an intensifying dispute that has rattled financial markets anxious about the impact on investment and growth.

Beijing has announced plans to retaliate immediately against the latest round of U.S. tariffs on Chinese imports by slapping a wide range of American products, worth $16 billion, with a 25 percent levy.

China's surplus with the United States shrank marginally to $28.09 billion last month from a record $28.97 billion in June.


July figures showed the US' trade deficit with China decrease only slightly.

Although the move was expected, it cements the view that there appears to be no effort underway to defuse the dispute between the world's two largest economies that have continued to exchange threats.

The worry is that the escalating Sino-US trade war, rising corporate bankruptcies, and a steep decline in the value of the yuan versus the dollar could put a significant dent on the economy. Its imports from the USA rose 11.8 percent in the same period.

The world's two biggest economies are locked in a trade dispute over Washington's charges that China uses predatory tactics in a drive to supplant USA technological supremacy.


In July the surplus with the United States was at $28.09 billion, down a touch from $28.93 billion in June, according to Reuters calculations based on customs data released on Wednesday.

All in all, China's trade surplus with the USA shrank to $28.08 billion in July against $28.97 billion in the previous month.

For January-July, the surplus with the US rose to $161.63 billion, compared with about $142.75 billion in the same period previous year. The step brought the total worth of Chinese goods facing a 25 percent tariff to $50 billion.

March 22:Trump announces plans to hit$50 billion worth of Chinese goods with a 25% tariff.China announces tariffsin retaliation to the steel and aluminum duties and promises a response to the latest U.S. announcement.


The latest United States tariffs on 279 products, including motorcycles, speedometers and antennas, will also take effect August 23.

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