US has imposed and now implemented tariffs on $34bn on Chinese goods. Now it’s turn for China to follow the “tit for tat” rule. China will further intensify and a trade war has begun affecting all the major markets of Asia. The US 25% tariffs on 818 Chinese products were implemented from 00:01 Washington time (04:01 GMT) on Friday, which was midday in Asia.
The US move is expected to be the first of a series as it hopes to bring down its huge trade deficit with the Asian giant. Products under consideration for the second set include polyethylene (PE), polyvinyl chloride (PVC), polycarbonate, and polyamide alongside propane, LPG and hydrocarbon gases, naphtha, crude benzene, toluene and xylenes, and crude oil.
Further tariffs could be imposed on up to $500bn more Chinese goods in subsequent rounds.
China has vowed on a tit-for-tat strategy on the US plan to put up trade barriers against the country.
“China promised not to shoot the first shot, but in order to safeguard the core interests of the state and the interests of the masses, it had to be forced to make the necessary counter attack,” the MOC said in a statement released minutes after the first wave of US tariffs took effect.
