Yesterday, I thought that the China-U.S. trade war was getting intense. And boy, was I wrong. Today, it’s gotten even worse, as China has willingly went through with their retaliation strategy. First, Trump proposed at 25% tax on $200 billion of Chinese imports. So what did China do this morning?
They countered with a statement, saying they will impose tariffs on $60 billion dollars worth of U.S. goods. These products could range from natural gas all the way up to fully built aircrafts, and the Chinese Commerce Ministry thinks these imposed tariffs are “rational and restrained.”
Now, China is playing the waiting game to see just how the U.S. will react to their statements. The ministry said “timing of the implication of the new tariffs on U.S. goods will depend on the actions of the United States.” It’s unpredictable how President Donald Trump will respond to this news, but the one thing we do know is that the U.S. and China need each other.
The U.S. relies on over $500 billion in Chinese imports for their economic market growth. But China needs the U.S., too. It could be extremely detrimental to lose a great trade relationship due to the warfare being proposed with these absurd tariffs.
