WASHINGTON—Beijing said it would retaliate immediately after the Trump administration announced Friday that it will move ahead with tariffs on $50 billion of goods from China, raising the potential for a trade war between the world’s two biggest economies.

A White House statement said it will implement a 25% tariff on $50 billion of Chinese goods “that contain industrially significant technologies.”</s>WASHINGTON (Reuters) - U.S. President Trump has made up his mind to impose “pretty significant” tariffs on Chinese goods, an administration official said on Thursday, as Beijing warned that it was ready to respond if Washington chose to ratchet up trade tensions.

Trump is due to unveil revisions to his initial tariff list targeting $50 billion of Chinese goods on Friday. The list will contain 800 product categories, down from 1,300 previously, according to another administration official and an industry source familiar with the list.

Trump no longer believes that Beijing’s influence over North Korea is a compelling reason to ease up on trade talks now that his administration has opened up a direct line of communication with the nuclear-armed country, the first administration official said.

U.S. Treasury Secretary Steven Mnuchin argued against imposing the tariffs at a White House meeting on Thursday but he was not expected to prevail, the official said.

The Chinese government’s top diplomat, State Councillor Wang Yi, said his country was prepared to respond if Trump went ahead with the tariffs.

Speaking to reporters in Beijing, with U.S. Secretary of State Mike Pompeo at his side, Wang said there were two choices when it came to the trade issue.

“The first choice is cooperation and mutual benefit. The other choice is confrontation and mutual loss. China chooses the first,” Wang said. “We hope the U.S. side can also make the same wise choice. Of course, we have also made preparations to respond to the second kind of choice.”

The move toward imposing U.S. tariffs on Chinese goods follows negotiations between U.S. and Chinese officials centred on increased purchases by Beijing of American farm and energy commodities and cutting the U.S. trade deficit with China.

Commerce Secretary Wilbur Ross this month met Chinese officials in Beijing and brought back a Chinese proposal to buy around $70 billion worth of additional commodities and manufactured goods. But that offer has not been accepted by Trump, people familiar with the matter said.

Wang said the two countries had agreed to use “constructive means” to handle disagreements.

Pompeo said the U.S. deficit with China was still too high, but that they had good talks.

“I stressed how important it is for President Trump to rectify that situation so that trade becomes more balanced, more reciprocal and more fair, with the opportunity to have American workers be treated fairly,” he said.

Pompeo met with Chinese President Xi Jinping later in the evening, and wished Xi a happy birthday for Friday.

Xi told Pompeo he hoped that the United States could “cautiously and appropriately” handle sensitive issues to avoid “major disturbances” to Sino-U.S. ties, the Chinese Foreign Ministry said in a statement.

The International Monetary Fund warned that Trump’s new tariffs threaten to undermine the global trading system, prompt retaliation by other countries and damage the U.S. economy.

It remains unclear when Trump would activate the tariffs, if he decides to do so. Several industry lobbyists told Reuters they expected the move to come as early as Friday, with publication of a Federal Register notice, or it could be put off until next week.

If Washington adopts tariffs, Beijing is expected to hit back with its own duties on U.S. imports, including soybeans, cars, chemicals and planes, according to a list it released in early April.

Under the 1974 trade law that Trump invoked to pursue a tariff investigation into China’s intellectual property practices, he could delay the activation by 30 days. He couldn’t also delay the tariffs by another 180 days if the U.S. Trade Representative’s office finds negotiations with China are yielding progress.

A USTR spokeswoman could not immediately be reached for comment.

In an interview aired on Wednesday, Trump told Fox News he was “very strongly clamping down on trade” with China.

Asked how strong, Trump said: “Well, I think very strongly. I mean you’ll see over the next couple of weeks. They understand what we are doing.”

Trump did not specifically mention the tariffs and added that he had “a very good relationship with President Xi (Jinping) of China.”

The administration’s trade hawks, including U.S. Trade Representative Robert Lighthizer and White House trade and manufacturing adviser Peter Navarro, have advocated a tougher approach to address U.S. allegations that China has misappropriated American intellectual property through joint venture requirements, state-backed acquisitions of U.S. technology firms and outright theft.

Amid the rising trade tension, China’s Commerce Ministry spokesman Gao Feng said Chinese exporters have been front-loading their shipments due to changes in the international trade environment.</s>President Donald Trump has decided to impose significant tariffs on Chinese goods, the latest leg in the ongoing tensions over trade between the two nations, according to published reports.

The Washington Post, quoting unnamed administration officials, reported that Trump is planning to announce a 25 percent tariff on $50 billion worth of Chinese products.

Reuters reported that Trump's list of tariffs will contain 800 product categories, down from 1,300 previously. Reuters cited an unnamed administration official and an industry source familiar with the list.

U.S. Treasury Secretary Steven Mnuchin argued against imposing the tariffs at a White House meeting on Thursday but he was not expected to prevail, the official said, according to Reuters.

The Chinese government’s top diplomat, State Councillor Wang Yi, said his country was prepared to respond if Trump went ahead with the tariffs.

The dispute between China and the U.S. has been escalating for months. In April, China raised import duties on a $3 billion list of U.S. pork, apples and other products. The move was seen by the U.S. as an attempt raise the gambit in the ongoing dispute with Washington over trade and industrial policy.

China in recent weeks has said that its actions are simply in rebuttal to U.S. tariff hikes, such as one imposed earlier this year on steel and aluminum. But that is just one facet of sprawling tensions with Washington, Europe and Japan over a state-led economic model they complain hampers market access and subsidizes exports in violation of Beijing’s free-trade commitments.

Companies are looking ahead to a bigger fight over Trump’s approval of higher duties in response to complaints that Beijing steals or pressures foreign companies to hand over technology.

Earlier this month, China warned that any U.S.-China trade agreements “will not take effect” if Trump’s threatened tariff hike on Chinese goods goes ahead.

China has threatened to retaliate by raising import duties on a $50 billion list of American goods including soybeans, small aircraft, whiskey, electric vehicles and orange juice.</s>China said Friday it is retaliating against U.S. tariffs by imposing penalties on the same scale against the United States.China's commerce ministry announced the tariffs after President Donald Trump said earlier Friday the United will hit $50 billion of goods from China with a 25 percent tariff.The ministry did not detail specifically what goods China will penalize.China had warned the White House earlier Friday that it would respond "in the first instance" to protect its economy if Trump moved forward with any tariffs on $50 billion worth of Chinese goods.At the daily briefing here, Chinese Foreign Ministry spokesman Geng Shuang said, "If the U.S. side adopts unilateralism and protectionism and damages China 's interests, we will respond in the first instance and take necessary measures to firmly safeguard our legitimate rights and interests."The Washington Post and The Wall Street Journal were among the publications reporting overnight that Trump, fresh from his return from the Singapore Summit with North Korean leader Kim Jong Un, has decided to enact significant tariffs on Chinese goods.Friday's salvos mark a significant step toward a full-blown trade war between the United States and China despite months of trade talks and negotiations in an effort to avoid that outcome.The Trump administration unveiled its tariffs just hours after Secretary of State Mike Pompeo returned from his first visit to Beijing where he met with his Chinese counterparts and President Xi Jinping.Although Pompeo was in Beijing to debrief the Chinese on the Singapore summit, the trade friction was never far from the surface.In a joint news conference Thursday evening in Beijing, Chinese Foreign Minister Wang Yi said China and the United States have two options before them: one is "cooperation" and a "win-win" scenario and the other is "lose-lose.""China opts for the first one and has made such a decision," Wang said before warning, "we hope the U.S. will make a wise choice and China on its part is prepared on all fronts."</s>President Trump followed through Friday on his threat to crack down on China for its “very unfair” trade practices, announcing that he is imposing a 25-percent tariff on $50 billion in Chinese imports.

Beijing quickly responded. In a late-night statement, China’s Ministry of Commerce said it would impose trade barriers of the “same scale and the same strength.”

The Chinese government said Trump’s tariffs were “damaging” relations and “undermining the world trade order.”

U.S. and Chinese officials in recent weeks had made progress on a deal that involved up to $70 billion in additional purchases of American products. But the Chinese offer was now “invalid,” the statement said.

Chinese officials, who had signaled their intention to retaliate if Trump went through with his tariff plans, are targeting the president’s supporters in farm states and the industrial Midwest.

Anticipating the Chinese response, the president said that the United States would “pursue additional tariffs,” raising the specter of the tit-for-tat trade war that business leaders and many congressional Republicans fear.

In a short White House statement, the president said the import tax would apply to “goods from China that contain industrially significant technologies.”

Today’s action follows an administration report in March that complained China had forced foreign companies to surrender their technology secrets in return for market access and had pilfered other advanced U.S. technologies through a campaign of cybertheft and investment in Silicon Valey start-ups.

“These practices . . . harm our economic and national security and deepen our already massive trade imbalance with China,” Trump said.

The U.S. last year ran up a $375 billion deficit in goods trade with China, a figure the president blames on Chinese trade barriers. Most economists say the gap is the result of broader forces such as Americans’ low savings rate.

On April 6, the administration published a proposed list of 1,333 products targeted for tariffs. After hearing objections from business groups, U.S. Trade Representative Robert E. Lighthizer dropped 515 items and added 284 new ones.

As a result, the tariffs will be imposed in two steps. On July 6, customs officers will begin collecting the tax on an initial basket of goods valued at $34 billion, which were on the initial list. USTR, meanwhile, will field comments on the new items on the list, valued at $16 billion.

“These tariffs are essential to preventing further unfair transfers of American technology and intellectual property to China, which will protect American jobs,” the president said.

USTR also plans to establish a process for U.S. companies to request permission to continue importing the targeted items on a duty-free basis.

The Chinese government is pursuing a $300 billion program of subsidies to enable its companies to dominate next-generation technologies such as artificial intelligence, robotics and quantum computing, upping the stakes for Trump’s efforts to preserve U.S. technological secrets.

The president’s complaints about China’s trade practices are shared by many business leaders. But there is little support for using import taxes, which are paid by Americans, as a tool against the Chinese.

“Imposing tariffs places the cost of China’s unfair trade practices squarely on the shoulders of American consumers, manufacturers, farmers and ranchers. This is not the right approach,” said Tom Donohue, president and chief executive of the U.S. Chamber of Commerce.

The U.S. announcement comes at a complex juncture in U.S.-China relations.

Following a summit in Singapore between President Trump and North Korean leader Kim Jong Un, Secretary of State Mike Pompeo stopped in Beijing for meetings with President Xi Jinping and other top Chinese leaders.

On Thursday, Pompeo thanked Xi for China’s help with North Korea and even wished the Chinese president a happy birthday.

But at a news conference with China’s foreign minister, Wang Yi, tension over trade was clear. Pompeo said the U.S. trade deficit with China is still too high, and Wang called for Washington to make a “wise choice” on tariffs.

Rauhala reported from Beijing. Luna Lin in Beijing contributed to this report.</s>WASHINGTON: US President Donald Trump Friday announced tariffs of 25 percent targeting tens of billions in Chinese imports, sparking immediate retaliation from Beijing and bringing the world´s two largest economies to the brink of an all-out trade war feared by markets and industry.



Making good on a pledge to punish the alleged theft of American intellectual property, Trump warned in a statement of "additional tariffs" if China hits back with tit-for-tat duties on American goods and services exports.

At least initially, though, the new tariffs will not cover the full $50 billion in trade that the White House had threatened in March.

US Trade Representative Robert Lighthizer said Friday the United States would begin collecting duties on 818 Chinese imports valued at $34 billion as of July 6.

A second tranche of 284 goods valued at $16 billion -- which would bring the total to $50 billion -- will undergo an additional process of review and public comment, according to the trade representative´s office.

"The United States can no longer tolerate losing our technology and intellectual property through unfair economic practices," Trump said in the statement.

"These tariffs are essential to preventing further unfair transfers of American technology and intellectual property to China, which will protect American jobs."

China responded swiftly, saying it has imposed "equal" tariffs on US products.

"We will immediately launch tax measures of equal scale and equal strength," the Ministry of Commerce said in a statement on its web site which also called on other countries to "take collective action" against this "outdated and backwards behavior."

The announcement caps months of sometimes fraught shuttle diplomacy between Washington and Beijing, in which Chinese offers to purchase more US goods failed to assuage Trump´s grievances over the soaring US-China trade imbalance and Beijing´s industrial development policies.

But Trump´s China trade offensive is only one side of his multi-front confrontation with all major US economic partners.

Trump outraged Canadian, Mexican and European leaders last month by imposing punishing tariffs on imports of steel and aluminum to protect American producers from allegedly unfair competition.

US officials say Beijing has sought industrial dominance in the emerging technologies through the theft of American know-how through forced technology transfers, hacking and other forms industrial espionage.

The release of goods lists also comes after jockeying by American companies dependent on certain imports who sought exemptions for certain goods -- a process that is due to continue with the second, $16 billion tranche of Chinese imports.

The trade representative´s office acknowledged public concern that the tariffs list could raise prices for consumers.

"The list does not include goods commonly purchased by American consumers such as cellular telephones or televisions," the office said.</s>BEIJING: China will impose additional 25 per cent tariffs on 659 US goods worth US$50 billion in response to the US announcement that it will levy tariffs on Chinese imports, the Chinese commerce ministry said.



Tariffs on US$34 billion of US goods including agricultural products such as soybeans will take effect from Jul 6, the ministry said. Soybeans are China's biggest import from the United States by value.

The tariffs will also be applied to autos and aquatic products, the ministry said.

The list of 659 US goods was longer than a preliminary list of 106 goods published by the commerce ministry in April, although the value of products affected remained unchanged at US$50 billion.

Aircraft, included in the earlier Chinese list, were not on the revised list.

The effective date of the tariffs on the remaining US$16 billion of US goods will be announced later, according to the commerce ministry. Among the affected US$16 billion in US goods include crude oil, natural gas, coal and some refined oil products.

US President Donald Trump announced on Friday 25 per cent tariffs on US$50 billion of Chinese imports, in a move that looks set to ignite a trade war between the world's two largest economies.

Trump said the tariffs would be imposed on a list of strategically important imports from China. He also vowed further measures if Beijing struck back.

"The US has ignored China's resolute opposition and solemn representation, and has insisted on adopting behaviors that violate WTO rules," China's commerce ministry said.

"This is a violation of the legitimate rights and interests that China is entitled to according to WTO rules, and is a threat to China's economic interest and security."</s>China imposes retaliatory tariffs on $50 billion worth of US products

Shanghai, China, Jun 16 (EFE).- China said on Saturday it will impose new import tariffs on about $50 billion worth of products from the United States, in response to the latest announcement by the US imposing new tariffs on goods from China,



The Chinese State Council decided to impose 25 percent additional tariffs on 659 US products, including vehicles and agricultural products, two of the most sensitive sectors for the US.



The announcement made in a statement released by the Customs Commission that came a few hours after US President Donald Trump announced that his administration was imposing a 25 percent tariff on $50 billion worth of goods from China that contained “industrially significant technologies.”



China’s Commerce Ministry announced late Friday that, although it did not want to have a trade war with the United States, it would respond to new tariffs announced by Washington in a forceful and immediate manner.



Tariffs on 545 items worth about $34 billion, including agricultural products and vehicles, will be implemented beginning Jul. 6



Tariffs on the remaining 114 items, covering chemical products, medical equipment and energy products, will become effective at a date to be announced later.



The decision was made in line with the relevant stipulations of the Foreign Trade Law of China and the Regulations of the People’s Republic of China on Import and Export Duties, as well as the fundamental principles of international law, according to the statement.



“The US move violates the relevant rules of the World Trade Organization, goes against the consensus already reached in bilateral economic and trade consultations, seriously infringes upon the legitimate rights and interests of the Chinese side and undermines the interests of China and its people,” the statement by the Customs Tariff Commission read.



Speaking to the state-owned Xinhua news agency, an official in charge of the Office of the Customs Tariff Commission said that the additional tariffs targeting Chinese goods, once imposed, would “substantially change” the trade conditions of these goods, and affect relevant producers and trade companies.</s>China Friday swiftly retaliated by imposing "equal" tariffs on US products following a decision by Donald Trump to slap duties on $50 billion of Chinese products.

"We will immediately launch tax measures of equal scale and equal strength," the commerce ministry said in a statement on its website which also called on other countries to "take collective action" against this "outdated and backwards behaviour".

China would also cancel agreements it had reached with the US during previous discussions over the penalties, it said.

The statement was issued after the US president announced tariffs of 25 percent on $50 billion of Chinese imports, making good on a pledge to punish the alleged theft of US intellectual property.

In a statement, he warned of "additional tariffs" should China hit back with tit-for-tat duties on American goods and services exports.

"Launching a trade war does not accord with global interests," the Chinese commerce ministry said.

"China definitely does not want a trade war, but in the face of the US's malicious, harmful and shortsighted conduct, China has to impose powerful countermeasures and resolutely defend the national interest and the people's interests," it said.

Trump's announcement capped months of sometimes fraught shuttle diplomacy between Washington and Beijing, in which Chinese offers failed to assuage Trump's grievances over the soaring US-China trade imbalance.

US Trade Representative Robert Lighthizer said Friday the United States would begin collecting duties on 818 Chinese imports valued at $34 billion as of July 6.

A second tranche of 284 goods valued at $16 billion -- which would bring the total to $50 billion -- will undergo an additional process of review and public comment, according to the trade representative's office.

Analyst BMI Research said Beijing could weather the impact, at least in the short term.

"This is likely to be manageable for the Chinese economy, and the government could offset the damage through tax cuts and domestic subsidies," the company said.

"The risk is that the situation continues to escalate and turns into a trade war, which would have heavier negative impact not only on China but on other economies in the region."

The Chinese commerce ministry did not provide details of how it planned to implement the new duties.

China previously issued a list of US products it would hit with 25 percent tariffs in the event of a trade war -- from big products like soybeans and beef to more niche items such as bourbon and ginseng -- although no timetable was specified.

China is the largest market for US soy and the threat of tariffs on exports of the commodity has the potential to whip up trade anxieties in stalwart Republican states.

US pork and cars manufactured in the United States are already on the radar of Chinese customs, which has stepped up inspections.</s>China Friday swiftly retaliated by imposing “equal” tariffs on US products following a decision by Donald Trump to slap duties on $50 billion of Chinese products.

“We will immediately launch tax measures of equal scale and equal strength,” the commerce ministry said in a statement on its website which also called on other countries to “take collective action” against this “outdated and backwards behaviour”.

China would also cancel agreements it had reached with the US during previous discussions over the penalties, it said.

The statement was issued after the US president announced tariffs of 25 percent on $50 billion of Chinese imports, making good on a pledge to punish the alleged theft of US intellectual property.

In a statement, he warned of “additional tariffs” should China hit back with tit-for-tat duties on American goods and services exports.

“Launching a trade war does not accord with global interests,” the Chinese commerce ministry said.

“China definitely does not want a trade war, but in the face of the US’s malicious, harmful and shortsighted conduct, China has to impose powerful countermeasures and resolutely defend the national interest and the people’s interests,” it said.

Trump’s announcement capped months of sometimes fraught shuttle diplomacy between Washington and Beijing, in which Chinese offers failed to assuage Trump’s grievances over the soaring US-China trade imbalance.

US Trade Representative Robert Lighthizer said Friday the United States would begin collecting duties on 818 Chinese imports valued at $34 billion as of July 6.

A second tranche of 284 goods valued at $16 billion — which would bring the total to $50 billion — will undergo an additional process of review and public comment, according to the trade representative’s office.

Analyst BMI Research said Beijing could weather the impact, at least in the short term.

“This is likely to be manageable for the Chinese economy, and the government could offset the damage through tax cuts and domestic subsidies,” the company said.

“The risk is that the situation continues to escalate and turns into a trade war, which would have heavier negative impact not only on China but on other economies in the region.”

The Chinese commerce ministry did not provide details of how it planned to implement the new duties.

China previously issued a list of US products it would hit with 25 percent tariffs in the event of a trade war — from big products like soybeans and beef to more niche items such as bourbon and ginseng — although no timetable was specified.

China is the largest market for US soy and the threat of tariffs on exports of the commodity has the potential to whip up trade anxieties in stalwart Republican states.

US pork and cars manufactured in the United States are already on the radar of Chinese customs, which has stepped up inspections.
The United States imposes a 25% tariff on goods imported from China worth $50 billion, set to come into effect on July 6, and accuses Beijing of "intellectual copyright theft".