GUIDANCE

The U.S. and China Escalate Their Trade Tiff With Tit-for-Tat Tariffs

Jun 15, 2018 | 23:02 GMT

U.S. Secretary of State Mike Pompeo meets with Chinese President Xi Jinping on June 14 in Beijing.

U.S. Secretary of State Mike Pompeo (L) and Chinese President Xi Jinping attend a meeting in the Great Hall of the People June 14, 2018 in Beijing, China.

(Fred Dufour-Pool/Getty Images)

Highlights

  • Soon after the United States announced that it would move forward with tariffs on about $50 billion worth of Chinese imports, China responded with a $50 billion tariff announcement of its own.
  • The tariffs would not come into effect for a few weeks, giving negotiators on both sides time to sit down. But the atmosphere between the two economic juggernauts has only grown testier.
  • The United States is apparently mulling tariffs on a further $100 billion worth of Chinese imports, risking a further escalation in their trade dispute.

The latest exchange of tariffs between the United States and China has increased the risk of a full-blown trade war that would have wide-ranging effects on the global economy. After the White House announced June 15 that the United States would move forward with 25 percent tariffs on $50 billion worth of Chinese imports, China announced reciprocal tariffs on an equivalent amount of U.S. goods....

Subscribe to view this article

Subscribe Now

Subscribe

Already have an account?