U.S. targets $300 billion of Chinese goods for new tariff hikes

It’s a reaction to Trump’s surprise move to impose punitive duties on $200 billion of Chinese imports

A shopper eyes display of seafood including oysters from the U.S. at a supermarket in Beijing on Tuesday, May 14, 2019. (AP Photo/Ng Han Guan)

U.S. officials listed $300 billion more of Chinese goods for possible tariff hikes while Beijing vowed Tuesday to “fight to the finish” in an escalating trade battle that is fueling fears about damage to global economic growth.

The U.S. Trade Representative’s Office issued its target list after Beijing announced tariff hikes Monday on $60 billion of American goods in their spiraling dispute over Chinese technology ambitions and other irritants. Chinese authorities were reacting to President Donald Trump’s surprise decision last week to impose punitive duties on $200 billion of imports from China.

READ MORE: U.S. hikes tariffs on Chinese goods, Beijing vows retaliation

“China will fight to the finish,” said a foreign ministry spokesman, Geng Shuang.

“We have the determination and capacity to safeguard our interests,” Geng said. “China’s countermeasures have shown our determination to safeguard the multilateral trade system.”

Trump downplayed the standoff that sent global markets plummeting to start the week, calling it “a little squabble” between friends.

The latest U.S. list of 3,805 product categories is a step toward carrying out Trump’s May 5 threat to extend punitive 25% duties to all Chinese imports, the USTR said. It said a June 17 hearing would be held before Washington decides how to proceed.

The list “covers essentially all products” not already affected by punitive tariffs, the USTR said.

It includes laptop computers, saw blades, turbine parts, tuna and garlic. The USTR noted it excludes pharmaceuticals and rare earths minerals used in electronics and batteries.

“The risk of further escalation is far from over,” said Timme Spakman of ING in a report.

Also Tuesday, China’s tightly controlled social media were filled with comments lambasting Washington following weeks of little online discussion of the dispute. That suggested official censors might have blocked earlier comments but started allowing those that favour Beijing to deflect potential criticism of President Xi Jinping’s government.

The United States is “sucking the blood of the Chinese,” said a comment left on the “Strong Country” blog of the ruling Communist Party’s newspaper People’s Daily. Another comment on the site said, “Why are Chinese people bullied? Because our hearts are too soft!”

Trump started raising tariffs last July over complaints China steals or pressures foreign companies to hand over technology and unfairly subsidizes businesses Beijing is trying to build into global leaders in robotics and other fields.

A stumbling block has been U.S. insistence on an enforcement mechanism with penalties to ensure Beijing carries out its commitments.

Odds of a settlement “remain high,” said Mark Zandi of Moody’s Analytics in a report. “But suddenly a number of other scenarios seem possible, even one in which the U.S., China and the global economy suffer a recession.”

Asian stock markets fell Tuesday as the fight, with no negotiated settlement in sight, though markets in the U.S. and Europe recovered some, but not all of the losses Monday, when the Dow plunged more than 600 points.

That came after China’s Finance Ministry announced duties of 5% to 25% on about 5,200 American products, including batteries, spinach and coffee.

Joe McDonald, The Associated Press

Like us on Facebook and follow us on Twitter

Just Posted

Ellis Bird Farm opens 2019 with book unveil of Charlie, Winnie and the Bluebirds

Site Manager Myrna Pearman documented the history of central Alberta’s natural treasure

Lacombe Police Service requests help finding missing person

Melissa Oswell was last seen on May 15th, after walking away from a health facility in Lacombe

Lacombe Composite High School students win gold at Skills Alberta Competition

Camryn Grant and Ben Rainforth will represent Team Alberta at Nationals in Halifax

Lacombe Police joins in on Canada Road Safety Week

1,841 motor vehicle fatalities and 9,960 serious injuries due to motor vehicle collisions in 2017

City of Lacombe council highlights – May 13, 2019

The next scheduled Regular Council Meeting is on May 27th

VIDEO: LCHS Hair Massacure supports children’s charities

Event supports kids living with cancer

Growing wildfire prompts warning for High Level to prepare for evacuation

Town of High Level announced Monday that residents should get personal items in order

Carbon tax, desk-thumping on agenda in upcoming Alberta legislature session

Jason Kenney has appointed a panel to come up with ways to reduce spending in the budget this fall

Facebook takes down anti-vaxxer page that used image of late Canadian girl

Facebook said that the social media company has disabled the anti-vaccination page

Authorities warn out-of-control wildfire could cut northern Alberta town’s electricity

Alberta Transportation has closed Highway 35 south of High Level due to the fire

‘Rope-a-dope’: Environmentalists say Alberta war room threat won’t distract them

Those against Alberta Premier Jason Kenney aren’t worried about promise to fight critics of energy industry

Almost $13 million to be paid to Grande Prairie hospital subcontractors, others

No reasons for the Court of Queen’s Bench order were released

Canada’s parole officers say correctional system has reached breaking point

About half of Canada’s federal parole officers work inside penitentiaries and correctional institutions

Speed, alcohol considered factors in deadly Calgary crash: police

Two female passengers in the Corolla, aged 31 and 65, died at the scene

Most Read