Trump apparently has decided to impose more tariffs on China
President Donald Trump has decided to impose tariffs on $200 billion worth of Chinese goods, two people briefed on the decision said, one of the most severe economic restrictions ever imposed by a U.S. president.
An announcement is expected to come within days, the people said, speaking on the condition of anonymity because they were not authorized to discuss internal plans.
The new tariffs would apply to more than 1,000 products, including refrigerators, air conditioners, furniture, televisions and toys. These penalties could drive up the cost of a range of products ahead of the holiday shopping season, though it’s unclear how much.
Apple said recently that its Apple Watch, AirPods, MacMini and a variety of chargers and adapters would be caught in the tariff war.
“Our concern with these tariffs is that the U.S. will be hardest hit, and that will result in lower U.S. growth and competitiveness and higher prices for U.S. consumers,” the company said in a letter to the U. S. Trade
representative. “The burden of the proposed tariffs will fall much more heavily on the United States than on China.”
Trump has ordered aides to set the tariffs at 10 percent, which is likely to lead to higher prices for American consumers. The tariffs are paid by U.S. companies that import the products, and the companies are likely to pass the costs along to U.S. consumers in the form of higher prices.
The U.S. imports about $500 billion worth of Chinese goods each year, and — combined with existing tariffs — the new penalties would cover half of all goods sent to the U.S. from China.
The 10 percent tariff was scaled back from Trump’s initial plan to impose 25 percent penalties on all of these imports. But the impact is still likely to be felt by millions of Americans.
A White House spokesman did not respond to a request for comment Saturday afternoon.
On Friday, deputy White House press secretary Lindsay Walters said: “The president has been clear that he and his administration will continue to take action to address China’s unfair trade practices. We encourage China to address the long-standing concerns raised by the United States.”
Trump’s top advisers have been united behind his effort to push China to change its economic practices, but they have been divided on his tactics. Some have advocated a more cautious, diplomatic approach.
But Trump has signaled that he thinks only the threat of real economic pain will push Beijing to make major changes. He recently boasted that he thinks China’s economy is suffering because of his tough policies.