FILE PHOTO: U.S. dollar and China yuan notes are seen in this picture illustration June 2, 2017. REUTERS/Thomas White/Illustration/File Photo
China and the United States will begin imposing additional tariffs on each other’s goods on Sunday, the latest escalation in a bruising trade war despite signs talks would resume sometime this month.
BEIJING: China and the United States will begin imposing additional tariffs on each other’s goods on Sunday, the latest escalation in a bruising trade war despite signs talks would resume sometime this month.
A new round of U.S. tariffs on some Chinese goods and Chinese tariffs on U.S. goods is scheduled to take effect from 0401 GMT on Sunday.
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The Trump administration will begin collecting 15per cent tariffs on more than US$125 billion in Chinese imports, including smart speakers, Bluetooth headphones and many types of footwear.
As part of its retaliation, Beijing will begin imposing a 5per cent tariff on U.S. crude oil from Sept. 1, the first time U.S. oil has been targeted since the world’s two largest economies started their trade war more than a year ago.
U.S. President Donald Trump last month said he was increasing existing and planned tariffs by 5per cent on about US$550 billion worth of Chinese imports after Beijing announced its own retaliatory tariffs on U.S. goods.
Tariffs of 15per cent on cellphones, laptop computers, toys and clothing are to take effect on Dec. 15. The U.S. Trade Representative’s Office said on Thursday it would collect public comments through Sept. 20 on a planned tariff increase to 30per cent on a US$250 billion list of goods already hit with a 25per cent tariff.
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Trade teams from China and the United States continue to talk and will meet in September, but tariff increases on Chinese goods set to go in place on Sunday will not be delayed, Trump said on Friday.
For two years, the Trump administration has sought to pressure China to make sweeping changes to its policies on intellectual property protection, forced transfers of technology to Chinese firms, industrial subsidies and market access.
China has consistently denied Washington’s accusations that it engages in unfair trade practices, vowing to fight back in kind and criticizing U.S. measures as protectionist.
China has pressed the United States to cancel the tariff increase, but said last week that a September round of talks was being discussed between the two.
The trade war further strains Beijing-Washington ties, already overshadowed by U.S. freedom of navigation exercises near Chinese-occupied islands in the disputed South China Sea, and U.S. support for self-ruled and democratic Taiwan, which China claims as its own.
(Reporting by Ben Blanchard; Editing by Clarence Fernandez)
