Tariffs on $200 billion of Chinese goods to go up on May 10, says Donald Trump

Washington, PTI | Updated : 06 May 2019, 06:56 AM

Asserting that trade negotiations with the Chinese are moving "too slowly", US President Donald Trump on Sunday said America would increase tariffs on $200 billion of Chinese products to 25 per cent on May 10. The move came at a time when a high-powered Chinese delegation is expected to come to Washington on Wednesday for the next round of talks to negotiate a comprehensive trade deal with the US. "For 10 months, China has been paying Tariffs to the USA of 25% on 50 Billion Dollars of High Tech, and 10% on 200 Billion Dollars of other goods," Trump tweeted.

These payments, he said, are partially responsible for the US' great economic results. "The 10% will go up to 25% on Friday," he said, adding, "325 Billions Dollars of additional goods sent to us by China remain untaxed, but will be shortly, at a rate of 25%."

Trump said that the tariffs paid to the US have had little impact on product cost, mostly borne by China.

"The Trade Deal with China continues, but too slowly, as they attempt to renegotiate. No!" he tweeted.

The US and China have been negotiating a trade deal since November last year when Trump and his Chinese counterpart Xi Jinping at the G-20 summit in Argentina agreed to work to find a way to end their trade war in the next 100 days. Till then Trump agreed not to increase tariffs on Chinese products. The first such deadline ended in March this year. However, the US extended the deadline.

Though till last week, Trump was saying that the talks with China were going on the right track, the president expressed his frustration on Sunday over the pace of the negotiations.

In an interview to CBS News, Secretary of State Mike Pompeo alleged that the previous Obama administration had given a free pass to the Chinese.

"They had given the Chinese a free pass in every dimension. President Trump is now pushing back on the enormous trade abuses."

The US wants to reduce the trade deficit with China, which in 2018 totalled USD 378.73 billion. It is also demanding greater opening of the Chinese market to US goods and wants Beijing to end its practice of forcing US firms that operate in China to share their technology.

First Published: Monday, May 06, 2019 06:56 AM
For all the latest Business News Download the News Nation App available on Android and iOS.