“China’s stock markets fell on Monday, dragged by reports that U.S. President Donald Trump is planning to unveil a fresh set of tariffs on $200 billion of imported Chinese goods in the latest volley of a heated trade war,” Reuters reports. “At the midday break, both the Shanghai Composite index and the blue-chip CSI300 index were 1.1 percent lower. Hong Kong’s Hang Seng index was down 1.6 percent at midday, and the China Enterprises index fell 1.4 percent.”
“A senior official in the Trump administration told Reuters that Trump would announce the new tariffs as early as Monday,” Reuters reports. “China has vowed to retaliate to any new U.S tariff action, and may decline to participate in further talks if new tariffs are announced.”
“The new tariffs, reported to be 10 percent, will cover a wide range of items including internet technology products and other electronics, printed circuit boards and consumer goods including Chinese seafood, furniture and lighting products, tires, chemicals, plastics, bicycles and car seats for babies,” Reuters reports. “China’s yuan also weakened on the prospect of a hotter trade war, despite the central bank setting the midpoint of the currency’s daily trading band firmer than expected. The yuan traded as low as 6.8756 per dollar before strengthening to 6.8685 per dollar at 0409 GMT.”
Read more in the full article here.
MacDailyNews Note: Two hours ago, President Trump stated via Twitter:
Tariffs have put the U.S. in a very strong bargaining position, with Billions of Dollars, and Jobs, flowing into our Country – and yet cost increases have thus far been almost unnoticeable. If countries will not make fair deals with us, they will be “Tariffed!”
Tariffs have put the U.S. in a very strong bargaining position, with Billions of Dollars, and Jobs, flowing into our Country – and yet cost increases have thus far been almost unnoticeable. If countries will not make fair deals with us, they will be “Tariffed!”
— Donald J. Trump (@realDonaldTrump) September 17, 2018
SEE ALSO:
Cramer: Here’s why China won’t boycott Apple as part of its trade war with the US – August 7, 2018
Apple could be used as a ‘bargaining chip’ in the trade war, Chinese state-run media warns – August 7, 2018
Why the US-China trade war may not have much impact on Apple – July 17, 2018
Apple launches $300 million China Clean Energy Fund – July 13, 2018
What trade war? Markets shrug off US-China dueling tariffs – July 6, 2018
U.S. President Trump puts tech in trade war crosshairs with planned curb on China investment – June 25, 2018
The Trump administration told Apple it would not place tariffs on iPhones assembled in China – June 19, 2018
Chinese stocks end at 2-year low, Apple suppliers sink on trade-war concerns – June 19, 2018
Why Apple CEO Tim Cook is acting like tech’s top diplomat – June 18, 2018
Apple CEO Tim Cook doesn’t expect a full-blown trade war between the U.S. and China – June 5, 2018
President Trump and Apple CEO Cook meet at White House with trade the focus – April 25, 2018
Apple CEO Cook to meet with President Trump – April 25, 2018
Why Apple stock can withstand a Chinese trade war – April 5, 2018
Apple CEO Tim Cook heads to China as President Trump orders 25 percent tariffs on up to $60 billion in Chinese imports – March 23, 2018
BoA Merrill Lynch: Apple is prepping a ‘foldable’ iPhone; U.S. and China trade tensions not an issue for Apple – March 23, 2018
Designed in California. Assembled in China. How Apple’s iPhone skews U.S. trade deficit – March 21, 2018
President Trump blocks Broadcom-Qualcomm deal over China concerns – March 13, 2018
Elon Musk sides with President Trump on trade with China – March 8, 2018
Analyst: President Trump’s tariff impact on Apple would be just a ’rounding error’ – March 7, 2018
We need a tariff on Twitter posts. #MAGA
Ohhh I’m sure everyone is so tarrified of a country so incompetent it can’t even find a weapons of mass destruction programs after a decade and a half of searching.
Fortunately I heard that trade wars are a pretty easy to win, so they might actually claim victory and bring out that Mission Accomplished banner and put it on that great wall they are building.
No problem with tariffs or the slightly higher prices they may mean.
China’s tariff on products is 3.54%, according to the World Bank. By comparison, the U.S. average is 1.61%. That is among the lowest in the world and also about the lowest ever charged by the country.
In some markets, the trade imbalance is so bad, the U.S. can’t compete. Remember when Elon Musk tweeted that an American car going to China pays 25% import duty, but a Chinese car coming to the US only pays 2.5%, a tenfold difference? Chinese steel is another example.
We will have fair trade when China’s tariffs are closer to U.S. tariffs along with import duties, ownership constraints and reciprocal taxes.
Got a link to that out of curiosity? I’ve been mostly using this one down below to compare tariffs by country. Looks like Switzerland and Singapore are the leaders here with 0%. Some countries have pretty wild tariffs, like the Bahamas (over 26%).
https://www.indexmundi.com/facts/indicators/TM.TAX.MRCH.SM.AR.ZS/rankings
just saw report amazon employees bribed to remove bad reviews, focus is mostly in china. the reports of chinese dishonesty seem never-ending. never freaking ending, at all levels of government, local and international business. and amercia’s been selling itself off piecemeal. someday, somewhere, someone has to stand for a level playing field, rattle everyone’s cage, smash the federal network of fat boys and girls and their lobbyist hustlers, impose penalties for international thieves. maybe, we really do have someone who’s willing to take all slings and arrows, all insults, all accusations of duplicity and corruption, someone who risks a personal fortune, comfortable excess and personal safety.
also, a note to mdn. i’m on a osx desktop and as i type, the page continues to jump up, then down, up, then down, up, then down……………………………………………………………………………………………………………………..really annoying. you asked me to turn off my extension to block ads. i did. now, your ads are making my page have a seizure.
I had an industry friend of mine go over to China to work on an animated film as director. They needed help to compete with western animated films as their films had been hopelessly inept. He had a contract before he came which they immediately reneged on and started to change terms to their liking as if a contract never existed. Contracts don’t mean a thing, nor their word, for many in China.
Hopefully he packed his bags and left, provided they didn’t slap him in jail for breach of contract.
Since they were breaching their own contract after he arrived he had no problem packing his bags and immediately leaving. I had been negotiating to be part of that project and the production team there went into sticker shock at my pretty standard western salary aka deal memo.
They wanted to get ahead and learn from us and make a better product but weren’t willing to put their wallets where their mouth & ambition was. Very short-sighted. It’s not like we’d come over to do charity work when they were hoping to create their own Pixar to make $$$$$$$. To make $$$$$$$ you have to spend $$$.
Exactly.
Too many people being let like sheep by CNN and there never ending Trump Derangement Syndrome.
The US has been getting screwed by unfair tariffs for decades. Too many in the federal swamp getting kickbacks and doing nothing about it. A non-politican gets elected and the “status quo” is fighting and lying till there last dying breath to stop draining the swamp.
Get used to this, it will get much worse until truth in news reporting is enforced.
Yes, that’s what we need—a government department to enforce truth in news reporting. We could call it the Ministry of… you know.
It can happen here.
I love how he’s reminding the voters what a steaming dump he is just weeks before an election.
He can’t help but remind people what a flaming idiot he is. Every time he talks or tweets.