Global Geopolitical Series: China vows to retaliate against Trump’s new-imposed tariffs on $50 billion goods

Beijing has promised to respond in kind as the Trump administration announced 25 percent tariff on as many as 1300 Chinese products worth $50 billion.

Earlier on Tuesday, the US Trade Representative’s office unveiled a list of products which Washington wants to slap with 25% levies, in order to force Beijing to stop what Trump believes to be unfair trade practices. The list includes some 1,300 products, ranging from chemicals and diodes to motorcycles and dental devices. While the Chinese products targeted are mainly non-consumer in nature, the move could still affect the supply chain of many US manufacturers. None of the tariffs will go into effect immediately but will be introduced after May 22, unless no objections are raised by US companies.

Here is a full list of products that could face 25 percent tariffs, https://ustr.gov/sites/default/files/files/Press/Releases/301FRN.pdf  and the USTR statement is here, https://ustr.gov/about-us/policy-offices/press-office/press-releases/2018/april/under-section-301-action-ustr

According to the statement from USTR, the proposed list of products is based on extensive interagency economic analysis and would target products that benefit from China’s industrial plans while minimizing the impact on the U.S. economy.  Sectors subject to the proposed tariffs include industries such as aerospace, information and communication technology, robotics, and machinery.

Beijing condemned the move and said that it would move to World Trade Organization’s (WTO) dispute settlement mechanism and take up corresponding measures of equal scale and strength against U.S. products in accordance with the Chinese law.