US president faults China for not following through on past commitments
U.S. President Donald Trump announced Thursday that Washington will impose a 10% tariff on an additional $300 billion worth of Chinese goods.
The announcement follows the conclusion of the latest round of negotiations between the U.S. and China aimed at ending a trade war between the world's top two economies that has sent shockwaves through global markets.
"Trade talks are continuing, and during the talks the U.S. will start, on September 1st, putting a small additional Tariff of 10% on the remaining 300 Billion Dollars of goods and products coming from China into our Country," Trump tweeted.
He faulted China for what he said was not following through on a series of past commitments made during talks, including a vow to import more American agricultural products.
The new import duties will be on top of 25% tariffs the U.S. already imposed on $250 billion in Chinese goods.
"We look forward to continuing our positive dialogue with China on a comprehensive Trade Deal, and feel that the future between our two countries will be a very bright one!" Trump said.
Financial markets quickly plunged following Trump's announcement, with the Dow Jones industrial average erasing earlier gains and falling more than 200 points below opening.
China has already retaliated to the 25% tariffs, imposing its own penalties on $110 billion worth of American goods. But due to the heavily unbalanced trade relationship, Beijing does not have enough goods to retaliate directly in kind.
The U.S. exported $180 billion worth of goods to China in 2018 while importing nearly $558 billions in Chinese goods, according to data compiled by the office of the U.S. Trade Representative.
