Trump’s Chinese Tariffs Target Consumer Electronics, Including Sony and PlayStation
- Author: Eleanor Harrison Nov 28, 2018,
Nov 28, 2018, 0:31
According to The Wall Street Journal, if negotiations dont produce a favorable outcome for the U.S., additional goods for $200 billion, will be slapped with up to 25% tariffs, including consumer electronics by Apple and other products manufactured in China.
The US president also threatened additional tariffs on $267 billion of Chinese imports if China retaliated with its own tariffs - which it did - unless the US and China reach a new trade agreement.
In an interview with the Wall Street Journal four days ahead of his high-stakes meeting with Chinese President Xi Jinping in Argentina, Mr Trump said it was "highly unlikely" he would accept China's request to hold off on the increase, which is due to take effect on Jan 1.
Asian shares battled to extend a global rebound today after US President Donald Trump seemed to quash hopes of a trade truce with China, dampening risk appetite across the region. He warned that people should not be deceived by the seemingly positive state of the US economy. The ongoing U.S. China trade war has driven economic headlines for months.
"Although the current economic situation in the U.S.is good, people can not rule out the possibility of another-I don't want to use the word "crisis"-a similar situation as what happened 10 years ago", he warned".
"The only deal would be China has to open up their country to competition from the United States", he told the WSJ.
"Until we get more clarification on the trade front, we are going to see some choppy waters", said Ryan Nauman, Market Strategist at Informa Financial Intelligence, Zephyr Cove, Nevada.
"The market remains in a fragile state and because of that anytime tariffs come into the picture you have worries", said Peter Cardillo, chief market economist at Spartan Capital Securities in NY.
In a separate interview published by The Wall Street Journal on Monday, Trump suggested he doesn't plan to budge on his demands of China.
Following the report yesterday, Apple's stock went down a little under two percent in after-hours trading. An Apple spokesman did not immediately respond to Reuters' queries.
Apple products have so far escaped the growing trade war between China and the Trump administration, but the grace period may be coming to an end soon.
Despite using contract manufacturers to make most of its products overseas, Apple has also sought to emphasize its contribution to the US economy, saying it plans to spend about $55 billion in 2018 with its USA -based suppliers.