US plans more China tariffs if TrumpXi meeting fails — Bloomberg

WASHINGTON: The US is preparing to announce tariffs on all remaining Chinese imports by early December if talks next month between presidents Donald Trump and Xi Jinping fail to ease the trade war, Bloomberg reported on Monday, citing unnamed sources.

According to the report, no decisions had been made but preparations for a new list of US tariffs were being made in case the Trump-Xi meeting does not yield progress in resolving the USChina disputes.

A person familiar with the administration’s tariff deliberations told Reuters that there could soon be movement towards a new round of tariffs, adding “the wheels are turning” in that direction, with no further elaboration.

The Bloomberg report sent stocks lower on Monday afternoon. The Dow Jones Industrial Average ended down one per cent, while the Nasdaq fell 1.6 per cent, also on weakness in technology and internet shares.

Trump has long threatened to impose tariffs on all remaining Chinese imports into the US, which exceed US$ 257 billion, if Beijing fails to meet US demands for sweeping changes to Chinese trade, technology transfer and industrial subsidy policies.

Trump has already imposed tariffs on US$ 250 billion worth of Chinese goods, and China has responded with retaliatory duties on US$ 110 billion worth of US goods. Previous rounds of US tariffs have taken at least two months to impose once a list of products was announced, allowing for public comments to be aired.

Previous rounds of tariffs have focused on Chinese capital and intermediate goods, but a final round would hit consumer products including cell phones, computers, clothing and footwear hard.

Asked about a new tariff announcement, White House Press Secretary Sarah Sanders told a briefing: “I’m not going to get ahead of the president’s meeting, and I hope it goes well.”

Another White House spokeswoman said there was “nothing new at this time” regarding tariffs on Chinese goods. — Reuters