President Trump, while answering reporters’ questions on Air Force One, threatened China with an additional $267 billion in tariffs, on top of the $200 billion in tariffs already being considered by the President.
“The $200 billion we’re talking about could take place very soon, depending on what happens with them,” Trump said, hinting his potential interest in a solution should China make legitimate concessions. “To a certain extent,” he added, “it’s going to be up to China.”
It seems quite evident that the President continues to support imposing the $200 billion in tariffs he threatened. An announcement will most likely come after there has been adequate time for a review of the thousands of comments.
The President went on to say, “I hate to say that, but behind that, there’s another $267 billion ready to go on short notice if I want. That totally changes the equation.”
So far, the Administration has been careful to generally avoid hitting consumer products with tariffs. That may change, however, if the President follows through on this fourth tranche of tariffs. The tariffs the President has both imposed and threatened now total $517 billion – $12 billion more than the $505 billion in Chinese goods imported last year.
From cellphones to televisions, consumers – and voters – could begin feeling the stresses of a continuously escalating trade war just in time for the November midterms. The markets are already reeling from the latest news. The Dow Jones Industrial Average dropped 100-points shortly after President Trump made the announcement.
Timeline of the US-China Trade War:
- March 1: President Donald Trump announces tariffs on all imports of steel and aluminum, including metals from China.
- March 22: Trump announces plans to impose 25% tariffs on $50 billion worth of Chinese goods. China announces tariffs in retaliation to the steel and aluminum duties and promises a response to the latest US announcement.
- April 3: The US trade representative announces a list of Chinese goods subject to the tariffs. There is a mandatory 60-day comment period for industries to ask for exemptions from the tariffs.
- April 4: China rolls out a list of more than 100 US goods worth roughly $50 billion that are subject to retaliatory tariffs.
- May 21: After a meeting, the two countries announce the outline of a trade deal to avoid the tariffs.
- May 29: The White House announces that the tariffs on $50 billion of Chinese goods will move forward, with the final list of goods released June 15. The move appears to wreck the nascent trade deal.
- June 15: Trump rolls out the final list of goods subject to new tariffs. Chinese imports worth $34 billion would be subject to 25% tariffs as of July 6, with another $16 billion worth of imports subject to the tariffs at a later date. China retaliates with an equivalent set of tariffs.
- June 18: Trump threatens 10% tariffs on another $200 billion worth of Chinese goods.
- July 6: The first tranche of tariffs on $34 billion worth of Chinese goods takes effect; China responds in kind.
- July 10: The US releases an initial list of an additional $200 billion worth of Chinese goods that could be subject to 10% tariffs.
- August 1: Washington more than doubles the value of its tariff threats against Beijing, announcing plans to increase the size of proposed duties on $200 billion worth of Chinese goods to 25% from 10%.
- August 3: China says it will impose tariffs of various rates on another $60 billion worth of US goods if Trump moves forward with his latest threat.
- August 7: The US announces that the second tranche of tariffs, which will hit $16 billion worth of Chinese goods, will take effect August 23.
- August 23: The US imposes tariffs on another $16 billion worth of Chinese goods, and Beijing responds with tariffs on $16 billion worth of US goods.
Read more at Politico.