China Retaliates with Increase on Current Tariffs on U.S. goods
President Donald Trump and President Xi Jinping met last week in Washington to discuss trade talks between United States and China, but unfortunately did not come to an agreement. This all comes after President Trump imposed the increase from 10% tariffs to 25% tariffs on Section 301 List 3 products of $200 billion worth of U.S. imports from China which went into effect on May 10, 2019.
China has now retaliated and announced that it will raise tariffs on approximately $60 billion worth of Chinese imports from the United States starting June 1, 2019 (Beijing time). The list of goods this affects does not change from what was announced in the Fall of 2018.
The following U.S. imports affected include:
Category 1 –
includes cotton, machinery, grains
increase from 10% to 25%
Category 2 –
includes aircraft parts, optical instruments, certain types of furniture
increase from 10% to 20%
Category 3 –
includes corn flour, wine
increase from 5% to 10%
Category 4 –
includes certain types of chemicals, rare earths, medical equipment
remains the same at 5%