Donald Trump announced this Friday tariffs of 25% on Chinese products worth between 50 billion dollars, a measure that announced months ago but has been suspended until now while opening a negotiation with Beijing. The U.S. Trade Representative's office published list of affected products, with significant technology weight, and will record m next week. The Chinese government already warned that it would approve reprisals for a similar stile but Trump warns that, in that case, re will be more fees. The trade war seems unstoppable.
The Office of International Trade Representative (USTR) identifies 1,102 products to be taxed at border, front 1,333 originally indicated. Divides m into two lists. The first is composed of 818 articles to which tariff will be applied from 6 July. The estimated value of imports in this group amounts to 34 billion annually.More information
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The second list consists of 284 products, for which a final determination must still be reached. The estimated import volume is 16 billion. In both cases, it includes products in aerospace industry, information and communication technologies, robotics, machinery, new materials and automotive. Consumer goods such as mobiles or televisions are excluded.
"In light of ft of intellectual and technological property and or unfair business practices, US will implement a 25% tariff on 50 billion of China's products that contain industrially significant technologies," said house Blanca in a statement.
Foreign trade, Robert Lighthizer, argues that US should take "robust defensive action" to protect leadership it has in technology and innovation in face of China's "unfair trade practices." The list of products, he adds, is designed for this purpose and thus contains technologies related to industrial policy "Made in China 2025".
Lighthizer insists that Chinese government is "working aggressively" to undermine American technology industry "stealing our intellectual property" and with "cyber attacks on our networks." The final list was elaborated after extensive analysis and underwent a consultation period with companies concerned to determine wher measures could help m or cause harm to ir businesses.
Washington put tariffs on table last March and even submitted a detailed list of 1,300 products that would be subject to levies: from minerals to components that are used in aerospace industry, through automotive, Telecommunications or medicines, among ors. China responded by announcing tariffs on American products for a similar economic stile. But application was stopped while opening up talks which, as happened with European Union and tariffs on steel and aluminium, have not been fruitful.
China accounts for most of US trade deficit (375 billion billion over a total of 556,000 last year) and Trump has promised his electorate that it will reduce this gap. The imposed tariffs and reprisals that are looming make foreseeable an escalation that can have global consequences, given size of economies that y face.
This Thursday, in Washington, managing director of International Monetary Fund (IMF), Christine Lagarde, rejected protectionist twist driven by Trump's administration and, contrary to president's words, warned that " trade war does not Create winners. "