The trade war between China and the USA has intensified. Donald Trump, the president of the United States, recently slapped an imposing tariff of over $200 billion on Chinese goods. These tariffs will start from next week.
This aggravated trade relations between the two, and both the nations are now on the verge of a trade war that will affect many other decisions.
Beijing wouldn’t die wondering, and premiers from the country have said that they will swiftly retaliate against American exporters and businesses within the country. This move could hurt American farmers and other exporters, who generate revenue by exporting goods to China.
Here’s a look at some of the intricacies of this trade war:
The target list for goods from China that America will now impose tariffs on is huge. Small items ranging from bicycles to burglar alarms and rattan mats will suffer the brunt of these tariffs. However, Apple would be pleased to know that smart watches and other products coming from China wouldn’t be subjected to the tariffs.
China admittedly started the rift by highly taxing the soybean produce of America coming into their nation.
With 60 percent of all overseas soybeans sales from America directly going to China, it was evident that Trump and the GOP would stand for the rights of all farmers.
Moreover, aggression from Chinese companies has come as part of the ‘Made in China 2025’ plan. This plan is forcing companies from the west to abandon operations and is using predatory tactics to ensure supremacy.
It is the failure of the Chinese government to handle such unfair tactics that has led United States into imposing the additional $200 billion of tariffs that are set to be implemented from next week.
Donald Trump has failed to fall under pressure from China and is giving them a tit for tat. Whether China can survive under the trade pressure exerted by POTUS Donald Trump, remains to be seen.