New Delhi, Apr 4: The United States and China moved an inch closer to an all-out trade war as China brought out a list of goods imported from the United States which will attract 25 per cent additional tariffs. The goods include soybeans, planes, cars, chemicals and whiskey. This move was taken in retaliation to the Donald Trump administration’s plan to slap tariffs on Chinese goods. ‘ Also Read - Trump Nominates Amy Coney Barrett as Next Justice of Supreme Court
The Chinese list covers 106 items on which 25 per cent additional tariffs will be levied. The trade value matches the US target of $50 billion. China’s commerce and finance ministries informed that the date of implementation will depend on when the United States takes action on its plan. Also Read - China Says WHO Gave Support For Covid Vaccine Emergency Use
The announcement triggered a panic response in global markets and commodities as they witnessed heavy selling, leading to a drop of 1.5 per cent in US stocks. Also Read - US Announces $150 Million For H-1B Workforce Training Programme
“Disregarding strong representations by China, the US announced the tariff proposals that are completely unfounded, a typical unilateralist and protectionist practice that China strongly condemns and firmly opposes,” China’s Ministry of Commerce (MOC) said today.
The Ministry of Commerce said the US published the list in disregard of the mutually-beneficial and win-win nature of the China-US commercial cooperation in the past 40 years, the appeal of the Chinese and American business communities and the interests of consumers, it said.
It further said that the United States’ action went against the Chinese interests, and was against the spirit of free trade, espoused by the World Trade Organisation (WTO).
US President Donald Trump is demanding China to cut down USD 375 billion trade deficit by USD 100 billion in about a month.
His move sparked concerns over a trade war between the two largest economies of the world.
(With agency inputs)