Trump to increase tariffs on China
11 June 2019
US President Donald Trump announced on Monday (10 June) he was ready to impose more tariffs on Chinese imports later this month.
The tariffs would be in addition to the 25% the US has already applied to $250 billion (€221 billion) worth of goods. The increase would be imposed unless there is progress in trade talks between the two nations at this month’s G20 summit.
‘We are scheduled to talk and to meet. I think interesting things will happen. Let’s see what happens,’ Trump told reporters at the White House.
On top of imposing tariffs, the President has taken the bold move of placing Huawei Technologies Co Ltd on a blacklist. This practically prevents any US company from dealing with the Chinese firm.
Earlier this year, Trump clashed with EU representatives over proposed import tariffs on steel and aluminium.
Trump’s plans to increase import charges is a move to protect US industry, which is suffering under the number of European and Asian vehicles coming into the country’s market.
‘In some places, trade has been blamed for the pains of globalisation, others use it as a scapegoat and insist that we can hide behind walls and borders,’ EU Trade Commissioner Cecilia Malmström said at a conference in Brussels.
Trump said in a proclamation released in Washington that he agreed with the conclusion by the Commerce Department that imports of cars and their parts represent ‘a national security threat’.
His proclamation directs the US Trade Representative to pursue negotiations of agreements ‘to address the threatened impairment of national security concerning imported automobiles and certain automobile parts from the European Union, Japan, and any other country the Trade Representative deems appropriate.’
‘Domestic conditions of competition must be improved by reducing imports,’ the proclamation stated.