Another set of tit-for-tat tariffs imposed by the United States and China on each other's goods took effect Monday. That coincided with the time for President Trump's planned tariff hike on $200 billion of Chinese imports to take effect, though there was no immediate USA government confirmation it was collecting the higher charges. Those tariffs took effect on Monday, with China retaliating with tariffs on US$60 billion of USA goods.
But Mr Trump warned he could ramp up to "phase three", slapping tariffs on approximately US$267 billion of additional imports, or the entirety of the goods the U.S. buys from China.
The increase coincided with the time for Trump's planned tariff hike on $200 billion of Chinese goods to take effect, but there was no confirmation from the USA government that it was collecting the higher charges. The US introduced a 25-percent charge on $34 billion worth of Chinese goods.
China's exports to the U.S. accounted for 19 percent of all its overseas shipments a year ago, according to a white paper published by China's cabinet, the State Council, on Monday.
Wang Shouwen made the remarks at a press conference in Beijing aimed at highlighting a newly issued government policy paper on bilateral trade frictions, in which China portrays itself as a victim of United States protectionism and bullying.
"These practices plainly constitute a grave threat to the long-term health and prosperity of the United States economy", he said in announcing the tariffs last week.
"Our position is really simple: We're happy to listen to the Chinese, we want to talk and the Chinese are well aware of the issues we have raised", Navarro said.
China is being forced to retaliate against the United States in their trade dispute, and USA exporters including suppliers of liquefied natural gas would "certainly" be hurt, said Chinese vice commerce minister Wang Shouwen.
On the contrary, Bank of America Merrill Lynch has forecasted that the trade war will damage the United States economy, resulting in the bullion to reach an average valuation of $1,350 an ounce (currently at $1,198.36 an ounce) in 2019.
However, the trade war risks disrupting global supply chains and throwing them into chaos, Luo said.
"But the U.S. side turned the tables, abandoned those agreements and slapped restrictive trade measures [on Chinese imports], making it impossible to proceed with further talks".
The statement came a day after the two countries' new tariffs on each other's goods kicked in. Business groups say American companies also report Chinese regulators are starting to disrupt their operations through slower customs clearance and more environmental and other inspections.
"To improve the ability of companies to adapt, China will further reduce their [social insurance] fees and taxes", Lian said. Beijing cancelled the visit of a Chinese negotiating team expected September 27-28 in Washington, The Wall Street Journal said. This is the case in other developed countries and is allowed under World Trade Organization rules, he said.