Chinese media denounces Trump trade moves as Beijing touts sincerity

Trump escalates China trade war with extra tariffs

Trump escalates China trade war with extra tariffs

President Trump said Tuesday that China's economic exploitation of the USA left him with "no choice" but to hit Beijing with tariffs, while the Chinese government warned that it will retaliate for Mr. Trump's "irrational" move, and stock markets plummeted on fresh fears of a trade war.

Although Mr. Trump's audience applauded his comments on tariffs at the annual National Federation of Independent Business conference, the renewed trade hostilities between Washington and Beijing are spooking many sectors of the us economy, from Wall Street to the agricultural heartland.

Global stocks fell after Trump's announcement. Hong Kong's Hang Seng index dropped 2.8 percent and France's CAC 40 slipped 1.4 percent. The euro EUR= was down 0.37 percent at $1.1579.

The president earlier ordered 25 percent tariffs on $50 billion in Chinese goods as punishment for Beijing's forced transfer of US technology on companies doing business in China, and for intellectual property theft. Beijing has already reacted to Trump's statement, pledging to retaliate.

After unveiling plans to impose additional tariffs on Chinese goods worth around 50 billion USA dollars, the United States went even further by threatening to identify 200 billion US dollars worth of Chinese products for additional tariffs. The tariffs were quickly matched by China on US exports, a move that drew the president's ire.

The ministry said it would fight back with "quantitative and qualitative" measures, suggesting Beijing's countermoves could go beyond tariffs, deepening the rift between the two countries. "In addition, they will serve as an initial step toward bringing balance to the trade relationship between the US and China".

One of the most important reasons: China is united, it said.

China's heavily regulated economy also gives officials the option of tying up companies with tax, anti-monopoly or other investigations.

New Zealand prime minister gives birth to baby girl
Ms Ardern was driven to hospital by her partner Clark Gayford and arrived at 5.50am this morning. The New Zealand PM become an important voice for women and working mothers.

"Every asset class is affected now by the U.S".

Economists warn Washington might be undercutting its negotiating position by alienating potential allies. They included tariffs on steel and aluminum imports and a combative stance on trade negotiations from North America to Asia. Founder Thanos Papasavvas said in a note Tuesday that trade disputes would have a more significant impact in volatility than what markets were pricing in.

"The United States will no longer be taken advantage of on trade by China and other countries in the world", Trump said.

"The United States has initiated a trade war that violates market laws and is not in accordance with current global development trends", China's Commerce Ministry said. China threatened to retaliate, leading Trump to propose broader penalties.

China retaliated by announcing that it too was raising tariffs on $50bn worth of United States exports, particularly from the agricultural sector where it could hurt Washington the most.

The tariffs on Chinese imports are the latest in a spate of protectionist measures unveiled by Trump in recent months.

Gary Cohn, Mr Trump's former top economic adviser, said last week that a "tariff battle" could result in price inflation and consumer debt - "historic ingredients for an economic slowdown".

"One thing that we've heard specifically from companies is that the Chinese government has been holding meetings with domestic private and state-owned enterprises where they talk about diversifying away from the procurement of USA products and services and shifting those contracts to European, Japanese or domestic Chinese companies", Parker said.

Recommended News

  • Corey Lewandowski Denies Mocking Girl With Down Syndrome

    Corey Lewandowski Denies Mocking Girl With Down Syndrome

    The story was initially shared by Mexican Foreign Minister Luis Videgaray , who said that this story was particularly painful. In response to a panelist who mentioned the separation of the girl with Down's syndrome , he responded: "Womp womp".
    'I really don't care': Melania Trump jacket stuns on migrant visit

    'I really don't care': Melania Trump jacket stuns on migrant visit

    President Donald Trump signed an order ending the separations and keeping families together while in custody. Melania is under fire for the odd statement during a trip to visit a child immigrant detention center.
    Supreme Court rules in internet sales tax case

    Supreme Court rules in internet sales tax case

    Kennedy wrote the majority opinion , joined by Justice Ruth Bader Ginsburg and the court's three most conservative justices. Previously, companies without a physical presence in a state were exempt from sales tax collection requirements.
  • Asian markets tumble as Trump tariffs spark trade war fears

    Asian markets tumble as Trump tariffs spark trade war fears

    Iran had been expected to oppose any rise in crude output, but it has now signaled it may support a small increase. We expect prices to be in broad range of $63 and $66 on the WTI, with heightened volatility ahead of the event.

    Prince Louis to be christened at Chapel Royal, Kensington Palace reveals

    The Duke and Duchess of Cambridge welcome their third child at the Lindo Wing, St Mary's Hospital, Paddington, London, UK. That's because the two have prior engagements: William on another royal duty, and Kate caring for little Prince Louis .
    Mexico beats defending champion Germany 1-0 at World Cup

    Mexico beats defending champion Germany 1-0 at World Cup

    In the first game of the day, Serbia beat Costa Rica 1-0 thanks to a brilliant Aleksandar Kolarov free-kick in Samara. Coach Juan Carlos Osorio, who called it a "milestone" win, said his team executed his game plan to near perfection.
  • Trump Reverses Migrant Separation Policy

    Trump Reverses Migrant Separation Policy

    The move reverses a tough policy under heavy pressure from his fellow Republicans, Democrats and the worldwide community. The executive order seeks more authority to detain families together until the end of their immigration proceedings.
    Switzerland stuns Serbia with game winning goal in the 90th minute

    Switzerland stuns Serbia with game winning goal in the 90th minute

    Swiss coach Vladimir Petkovic has vowed to keep up his side's high-tempo, physical approach that earned them a draw with Brazil. Shaqiri scored a late game-winner and Swiss fans lost their minds.
    China cuts U.S.  investments by 92% amid escalating trade war

    China cuts U.S. investments by 92% amid escalating trade war

    The White House is also expected to announce restrictions on investments by Chinese companies in the United States by June 30. With the trade feud escalating and no further talks scheduled between the two governments, stocks dropped sharply Tuesday.
  • Saudi-Led Coalition Storms Yemen's Hodeidah Airport Compound

    Saudi-Led Coalition Storms Yemen's Hodeidah Airport Compound

    But the Houthis were well dug into Hodeidah as it constitutes the key supply line to territory they control including Sanaa.
    As Europe’s Tariffs on U.S. Goods Take Effect, Trump Threatens Retaliation

    As Europe’s Tariffs on U.S. Goods Take Effect, Trump Threatens Retaliation

    And the highest-stakes fight still looms: In two weeks, the United States is to start taxing $34 billion in Chinese goods. Other countries hit by the United States tariffs have also retaliated , raising fears of a global trade war.
    DHS Secretary Kirstjen Nielsen briefs from White House

    DHS Secretary Kirstjen Nielsen briefs from White House

    Earlier Monday he tweeted: "It is the Democrats fault for being weak and ineffective with Boarder Security and Crime". Under current law, it is not legal to detain whole families who cross the border illegally.

We are pleased to provide this opportunity to share information, experiences and observations about what's in the news.
Some of the comments may be reprinted elsewhere in the site or in the newspaper.
Thank you for taking the time to offer your thoughts.