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Sunday, November 17, 2024

US-China trade war furthers: Trump raises Tariffs from 25% to 30%

The US President Donald Trump went on to impose further trade restrictions over Chinese products by raising the Tariffs from 25 to 30% starting from September 1. The trade war began when Trump imposed tariffs on Chinese products and in return, China did the same

US President Donald Trump confirmed Friday that steep new tariffs on Chinese goods will kick in on Sunday and said that his economic pressure is forcing Beijing to take a more moderate line in Hong Kong.

“They’re on,” Trump told reporters, two days before the levies on billions of dollars’ worth of Chinese imports are set to rise in the latest escalation of the trade war between the world’s two biggest economies.

Trump also said that US economic pressure on China was responsible for preventing the authorities from carrying out a harsher crackdown against pro-democracy demonstrators in Hong Kong.

“Because of what I’m doing with trade that’s really keeping down the temperature,” he said at the White House.

Trump’s call fell on the same day prominent Hong Kong democracy activists including three lawmakers were arrested in a protest crackdown

Donald Trump‘s tough line – and his claim that events in Hong Kong are linked to the trade war – follows his insistence over the last week that Chinese negotiators are keener than ever to strike a deal.

However, despite repeated hints that high-level communications have been reopened on the standoff, White House officials have sparked skepticism by failing to provide details of those reported talks.

His confirmation that the new tariffs will go ahead underlines the reality that the two sides remain at loggerheads.

China-US Trade War

Trump earlier this month had called for 10 percent tariffs on $300 billion in goods to take effect on September 1 and December 15. Then Beijing retaliated by targeting $75 billion in US exports and Trump announced that the new tariffs would instead hit 15 percent.

In addition, existing 25 percent duties on $250 billion worth of Chinese products will rise to 30 percent starting October 1.

Trump initiated the trade war last year because of complaints over unfair Chinese trade practices.

His comments on Hong Kong could touch political nerves in China, which bristles at anything it sees as outside interference in the restive city.

Asked if he saw a connection between the way the Chinese respond to the unrest and the difficulties their economy faces under US pressure, Trump said: “I do, I do.”

Read more: China goes for ‘nuclear option’ in US trade war

“If it weren’t for the trade talks Hong Kong would be in much more trouble,” he said, reiterating a call for Beijing to “handle it in a humane fashion.”

Trump’s call fell on the same day prominent Hong Kong democracy activists including three lawmakers were arrested in a protest crackdown – a move described by rights groups as a well-worn tactic deployed by China to suffocate dissent ahead of major political events.

AFP with additional input by GVS news desk