China announces tariff increase on US goods

10:15 | 15/05/2019 Cooperation

Reuters and Xinhua have cited China's Ministry of Finance as saying China will raise tariffs on US imports, worth US$60 billion, from June 1.

US President Donald Trump and China's President Xi Jinping meet business leaders at the Great Hall of the People in Beijing in 2017 - Photo: Reuters

The above reaction is seen as a response to the recent US decision on increasing tariffs from 10% to 25% on imports from Beijing with a total value of US$200 billion.

Earlier, Chinese media sources said that the door to trade negotiations between the US and China remained open, but Beijing did not make concession on important principle issues. An article published on the People's Daily of China on May 13 confirmed that there are no winners in a trade war, and Beijing does not want to fight, but is not afraid to do so.

White House economic advisor Larry Kudlow on May 12 stressed that China needs to agree to “very strong” enforcement provisions for an eventual deal with the US. He said that US President Donald Trump will meet Chinese President Xi Jinping next June on the sidelines of the G20 Summit.

The failure of the US-China trade negotiation round last weekend has had a negative impact on Asian stock markets. Ending the transaction on May 13, the indices on Asian stock markets all dropped. In Shanghai (China), the Shanghai Composite Index decreased by 1.2%. Meanwhile, in Tokyo (Japan), the Nikkei Index fell by 0.72%.

Theo NDO