US Getting Ready to Impose Tariffs on Chinese Goods

Forex News

The White House is due to unveil revisions to his initial tariff list targeting $50 billion of Chinese goods tomorrow, on June 15. It is reported, that the list will be slightly smaller than the original, with some goods deleted and others added, particularly in the technology sector. In its preliminary list, the US said it would levy an additional 25 percent duty on everything from TV components to dishwashers and snowblowers. This move is sure to further inflame trade tensions and spark almost immediate retaliation from Beijing.

US President also plans to meet with his top trade advisers to decide whether to activate threatened tariffs on Chinese goods, as China again urged talks to settle the dispute. It remains unclear when Trump would activate the tariffs if he decides to do so.

Under the 1974 trade law that Trump invoked to pursue a tariff investigation into China's intellectual property practices, he could delay the activation by 30 days. He can also delay the tariffs by another 180 days if the US Trade Representative's office finds that negotiations with China are yielding progress.

China has previously threatened to respond with proportional duties on everything from American soybeans to airplanes. The two countries have been trying to negotiate a truce to the trade spat. But at the latest round of talks in Beijing, Xi’s government warned that it will withdraw any commitments if Trump carries out his threat to impose duties.