After the United States released their proposed list of Chinese products that would be facing tax increases of 15-25%, China has also released a list of 106 more US imports that they will be introducing tariffs too.
>>>Trump to Hit China with $50 Billion in New Tariffs
The full proposed list from the US is focused on products from China that have had a negative impact on the American economy, totaling up to nearly 1,300 items. The list will be undergoing “further review in a public notice and comment process, including a hearing,” according to the United States Trade Representative (USTR).
The Trump administration has stated that China’s policies on technology transfer, intellectual property, and innovation have been “unreasonable or discriminatory.”
Previously, China had already announced that they will be putting tariffs on 128 US goods that are imported into China.
>>>China to Impose Tariffs on 128 Imported US Goods
This move was in response to the US imposing tariffs on steel and aluminum imports, where several countries had been excluded from those tariffs, but China was not among them.
>>>Trump ‘Pauses’ Tariffs for Several Countries
China then accused the US of violating and ignoring World Trade Organization (WTO) rules and said they would “take legal actions under the WTO framework to jointly maintain the stability and authority of the multilateral trade rules with other WTO members” and that the US tariffs “{constitute as] a safeguard measure.”
In a recent press release responding to China’s announcement, the USTR said: “there is no basis under WTO rules for China’s decision this week to raise tariffs against over $3 billion in U.S. exports.”
They have also said the other country’s “request for consultations under the WTO Safeguards Agreement is completely baseless” because the US tariffs are to “address a national security threat to critical industries and are not part of a safeguard action.”
The new list of 106 American goods includes items such as soybeans, whiskey, fresh and frozen meats, and several types of cars and aircraft.
The stock market has taken another hit as a result of Chinese and American tariffs, with the Dow Jones Industrial Average (NYSE:DIA) falling more than 450 points this morning.
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