US tax imposed on $ 200 billion of Chinese goods, now China’s turn
The United States (US) has announced to impose higher import duty on China and $ 200 billion worth of goods imported from China. China has also said that it will take reciprocal action.
After the US move, there has been a threat of business warfare and hoarding between these two major economies of the world.
In the past, the United States has raised fees on $ 50 billion of Chinese goods in a total of two times. China also raised the fee on some American goods in response to her.
China has said that the recent step of the Trump Administration has created a ‘new uncertainty’ about further talks between the two countries. America and China are the world’s first and second largest economy.
US President Donald Trump launched a third round on Tuesday, imposing 10 percent of China’s imports and imports of $ 200 billion. By the end of this year, the fee will increase to 25 percent.
In response to this move by the Chinese Ministry of Commerce, China has said that it is compelled to take similar measures against new charges.
In a statement, the Commerce Ministry has said that the fee imposed by President Trumpet has created new uncertainty in the talks between the two sides.
Not only this, but Trump has also warned China that if he takes any action against the new move, then the US will charge the imports of China and $ 267 billion.
Along with this, almost all kind of imports from China will be charged in the US. Exports from China to the United States of US $ 522.9 billion
President Trump has put pressure on China to reduce trade deficits in trade with America. In 2017, the US has a $ 335.4 billion loss in bilateral trade with China.
Last month, the two sides started trade negotiations but it was at the lower level. Vice Minister of Commerce of China Wang Shuwan had a conversation in Washington but there were no results.