US President today put into effect the biggest and most shocking decision of officially imposing tariffs on China’s imports. China retaliated after US announced tariffs of $34 billion on Chinese imports.
Tariffs on Chinese goods started at 12:01 a.m. Friday in Washington, and more tariffs are coming as US mulls tariffs on another $16 billion worth of tariffs on China. The total tariffs in this tit for tat trade war between the two trading giants of the world could easily escalate to $550 billion.
According to independent reports, US tariffs on China are already hurting the investment in US in addition to hampering the overall business outlook. Trump administration initiated tariffs on Aluminium, Steel while threatening levies on more products.
Analysts project that the local US production is not equipped to meet the supply gap expected from these tariffs, furthermore, the producers have not made any investments in expanding production capabilities.
China also responded with tit for tat after it slapped tariffs on 12:01 p.m. in Beijing, according to State News Agency Xinhua.
“Our view is that trade war is never a solution,” said the Chinese Premier Li Keqiang in Sofia, Bulgaria while meeting his counterpart. “No one will emerge as a winner from trade war, it benefits no one.”
