Trump Raises Tariffs on Chinese Goods as Trade War Escalates
WASHINGTON (AP) – Escalating his trade war with China, President Donald Trump bumped up his tariffs on Chinese imports Friday, lashing back after Beijing raised taxes on U.S. products.
In a tweet, Trump said he would be raising tariffs on $300 billion in Chinese goods from 10% to 15%. The Office of the U.S. Trade Representative also said that on Oct. 1 the U.S. would hike tariffs on another $250 billion in Chinese imports from 25% to 30%.
The move came hours after Beijing said it would hike tariffs on $75 billion in U.S. imports, escalating a conflict over trade and technology that threatens to tip a fragile global economy into recession.
Earlier Friday, the president said he “hereby ordered” U.S. companies to seek alternatives to doing business in China. The escalating tensions between the world’s two biggest economies sent the stock market into a tailspin. The Dow Jones Industrial Average closed down 643 points – before Trump announced the new tariffs.
Tariffs on $300 billion in Chinese imports are scheduled to go into effect in two stages – on Sept. 1 and Dec. 15. Originally scheduled to be 10%, they will now be 15%.