Tuesday, May 14, 2019

US - China Trade dispute - Tit for Tat, the name of the game

China go harder on United States imports

The Chinese government has responded on rising levies up to $60 billion on US goods imported into China from 1 June 2019, and the goods which will be affected are cotton, machinery, grains, and aircraft parts. Also, there about 4,000 items which will be affected as well as most of them will be taxed up to 25% compared to 10% of which was maximum levied from last September.


China reaction was propelled after the White House action of raising the tariffs on Chinese imported goods into the US soil from 10% up to 25% of which would worth of $200billion.

Both countries'reactions of tit-for-tat emerged after months of discussion failed last Friday to provide agreements on how US-China trades could continue smoothly without damaging each other country's interests.


Although China-US trades are both moved to protectionism situations as it seems.  Larry Kudlow, White Houses'  top economic adviser suggested on Sunday, that " there is a strong possibility," President Trump will meet China President Xi on G-20 economic summit in Osaka Japan in June, whilst Liu He, China's top trade negotiator said there could be another round of trade discussion on future, probably will be tabled in Beijing.


The US-China trades disputes began last July 2018, and since then, both countries export businesses have faced difficulties and also inflicted huge damage to each country's companies of which slowed their nations and the global growth in general. 


No comments:

Post a Comment