United States slapped trade sanctions on China, including restrictions on investment and tariffs on $50billion worth of Chinese imports from entering the Washington thus stoking fears of a trade war.
“It’s going to make us a much stronger, much richer nation,” Trump said, adding that the retaliation could hit about $60 billion worth of Chinese goods.
Trump lamented the US’ multi-hundred billion dollar trade deficit with China and said the action would be “the first of many.”
“That’s really just a fraction of what we’re talking about,” he said, citing the large trade deficit that the U.S. runs with China.
Trump directed his administration to take action that will likely result in tariffs on a proposed list of 1,300 products as punishment for Beijing’s intellectual property practices, senior White House officials said ahead of the announcement.
Speaking at the White House, Donald Trump said the imposition of tariffs was part of an effort for fairness, noting that China imposes a 25% tariff on US cars while the US only has a 2.5% duty on Chinese cars. “They charge us, we charge the same thing,” said Trump.
The president blamed China for the loss of 60,000 factories and 6 million jobs and also ordered Lighthizer to complain to the World Trade Organization about China’s discriminatory licensing practices for foreign companies.