Trump Accuses China of Trying to 'Change' US Election
- Author: David Armstrong Sep 19, 2018,
Sep 19, 2018, 12:28
An ongoing and widening trade war poses political risks for Republicans as they try to stop Democrats from taking House and Senate majorities in November's midterm elections.
After a seven-week comment period, the administration announced that it had withdrawn several items from an earlier list of $200 billion in Chinese imports, including child-safety products such as bicycle helmets.
An employee works on a pumper truck production line at a factory in Zhangjiakou, China, in July. The tariffs would increase to 25 percent on January 1, 2019.
"China has always emphasized that the only correct way to resolve the China-US trade issue is via talks and consultations held on an equal, honest and mutually respectful basis", Geng said. "Rather, it is to force U.S. multinational companies to pull back their investments in China, so that the interdependence of the two rival economies is reduced".
Former chief economic adviser Gary Cohn tried desperately to convince Trump that tariffs would cost jobs and investment and raise little revenue, at one point telling him that he had a "Norman Rockwell" view of an American economy that bore no relationship to the services-dominated United States economy today.
China has made a decision to levy tariffs on about $60 billion worth of imports from the U.S. if Washington carries out its planned tariffs on $200 billion worth of Chinese goods, China's Customs Tariff Commission (CCTC) of the State Council or the central cabinet said on Tuesday night.
Earlier, Beijing vowed to hit $60 billion worth of USA goods with levies. "What China does not understand is that these people are great patriots and fully understand that". It was unclear if the tariffs announced on Tuesday were lower to match the USA plan.
"Most of our member companies are "in China, for China" - selling goods to Chinese companies and consumers, not to Americans - and thus ultimately boosting the U.S. economy", Jarrett said.
Investors were relieved that the latest escalation was less severe than some market participants had expected, with Asian stocks rising on Wednesday and U.S. Treasury yields near four-month highs.
China, for months, has refused USA demands that it change its unfair trade practices.
Its own long-term economic and strategic ambitions and its domestic political stability make it hard for China's President Xi Jinping to be seen to be intimidated into conceding to the USA actions and threats.
"We were trying to do things that were least intrusive on the consumer", Ross said on CNBC.
Geng said China would like to work with the United States to achieve that, adding that "however the protectionist and unilateral measures taken by USA were not acceptable to us".
"But if the Trump administration enacts a further $267 billion round of tariffs, the iPhone, along with all other smartphones, are likely to be included in the list".
Meanwhile, China foreign ministry spokesman Geng Shuang has accused the United States of bringing "new uncertainty" to trade talks between the world's two largest economies.
US stock markets opened higher and the Nasdaq index was up 1 over 1 percent by mid-morning. No items were added, though the value will remain at $200bn worth of Chinese imports, the officials said.
The US president had repeatedly criticized Chinese trade practices, calling them unfair.
Trump's tariffs raise costs and create uncertainty for companies that have built supply chains that span the Pacific Ocean.