WASHINGTON – US President Donald Trump continues to stun world with his executive orders, as POTUS now announced imposition of staggering 104 percent tariff on all Chinese imports – a move that threatens to ignite full-scale trade war with dire consequences.
The exorbitantly high tariffs are Trump latest move in direct response to China’s failure to back down from a retaliatory tariff plan. Trump led administration is set to deepen economic instability, with markets already reacting to the uncertainty.
The decision to jack up tariffs comes amid 34pc increase on Chinese goods, which was part of Trump’s “reciprocal tariffs” strategy. Trump however, raised stakes by tacking on an additional 50pc, pushing total tariff on Chinese goods to an astounding 104%.
On the other hand, Beijing decided to stand firm rather than compromise, making grave mistake in handling of trade blows. Trump’s wild move, however sent shockwaves in global markets, with major global indices such as the S&P 500 and Nasdaq seeing sharp declines.
Chinese government denounced new tariffs a mistake upon a mistake and vowed to escalate retaliation on U.S. exports. “We do not provoke trouble, but we will not shy away from it,” stated the ministry, further warning of stern measures.
China will now target American agricultural exports, especially soybeans and sorghum, as well as impose bans on imports of U.S. poultry. The second leading economic power is also expected to tighten restrictions on US firms operating in China, including legal consultancies and tech firms.
The new tariffs will have wide-reaching consequences, not only for American businesses but also for consumers. Experts link it with sharp rise in prices of everyday consumer products, further straining households already grappling with inflationary pressures.
China strikes back: Imposes heavy tariffs on US goods in response to trade duties
