China to slap additional tariffs on $16 billion of United States goods


China has vowed to retaliate with equivalent tariffs against any US action.

The United States slapped an extra 25 percent tariff on 34 billion USA dollars worth of Chinese imports beginning July 6, to which China responded with an equivalent retaliatory measure.

The Chinese Ministry of Commerce announced a 25 percent charge on $16 billion worth of US goods including coal, grease, Vaseline, asphalt and plastic products, and recyclables. So far, the US and China have used a tit-for-tat strategy that has involved answering one country's increased tariffs with the other country boosting the amount too.

United States tariffs on Chinese goods are set to hit $50 billion from August 23.

The revised Chinese list released today added hundreds of new items to be hit with tariffs, and now covers items as diverse as coal, medical instruments, waste products, cars and buses.

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The tariffs will be activated on August 23, the ministry said, the same day that the United States plans to begin collecting 25 per cent extra in tariffs on $16 billion U.S. in Chinese goods.

The tariffs are aimed at industrial, rather than consumer, imports.

A spokeswoman for the U.S. Trade Representative's office could not immediately be reached for comment on China's retaliation announcement or whether this would trigger Trump's next round of threatened tariffs on $200 billion worth of Chinese goods.

China's payback presents its own challenges.

President Trump had repeatedly expressed discontent over the USA trade deficit with China, accusing the country of unfair trade practices, intellectual property theft, currency manipulation, and of providing state aid to Chinese firms.

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Mr Trump has said he would be willing to hit all of China's imports with duties.

China's exports to the United States rose 13.3 percent in the first seven months of 2018 from a year earlier, compared with a 13.5 percent rise in Jan-June.

Chinese data on Wednesday showed exports to the U.S. rose 13.3% in July to $41.5 billion against a year ago.

Chinese state media, reflecting the government's stance, has said China will not be cowed in the face of US threats. In April, the administration had announced plans to slap tariffs on 1,333 Chinese product lines worth $50 billion a year.

April 4: China rolls out a listof more than 100 USA goods worth roughly $50 billion that are subject to retaliatory tariffs.

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