US-China Row: China’s big decision in response to 104% Trump tariff, raising import tariffs on U.S. goods to 84%
New Delhi| The ongoing tussle between China and Trump escalated Wednesday after Beijing raised tariffs on goods coming from the U.S. to 84%. Earlier, China had announced a 34% tariff on its products in response to US tariffs. After that, Trump issued a decree imposing a 104% import duty on China. Now Beijing has taken action in response to this.
After the announcement of fresh tariffs by the Chinese, there was a decline in the futures prices of the American stock index on Wednesday. The Dow e-Minis dropped 709 points, or 1.87%, at 07:08 AM US time. the S&P 500 e-Minis showed a drop of 86.5 points, or 1.72%. At the same time, the Nasdaq 100 e-minis came down by 250.75 points, or 1.45%.
US decision on tariffs threatens further instability in global trade
China told the World Trade Organization on Wednesday that the US decision to impose reciprocal tariffs on Beijing risks further destabilizing global trade. “The situation has escalated dangerously…. As one of the affected members, China expresses grave concern and firm opposition to this reckless move
Mutual tariffs not a solution to trade imbalances: China
“China is opposed to trade wars, it will defend its legitimate interests resolutely”, Dragon said in a statement to World Trade Organization members during a meeting involving trade in goods China on Wednesday accused the US of violating WTO rules and said it was weakening the multilateral trading system. China asked the secretariat of WTO to study the impact of counter-tariffs on global trade and report its findings to members. “Mutual tariffs are not a solution to trade imbalances-and never will be”, China’s statement to the WTO said. Instead, they will backfire, hurting America itself”
Trump’s sweeping tariffs have rocked decades of global trade order, fueling fears of a recession. This decision of the US administration has caused a loss of trillions of dollars from the market value of major companies. However, Trump has ignored this decline in the market and has given mixed signals to investors in this regard.
