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Trump: $267B More In Chinese Tariffs 'Ready To Go'

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Trump: $267B More In Chinese Tariffs 'Ready To Go'

Thursday marked the conclusion of the public comment period for the proposed $200-billion first wave of China tariffs. Just one day later, President Donald Trump upped the United States' tax threat to Chinese imports by $267 billion in remarks to reporters on Air Force One.

If all of the threatened tariffs are enacted, they will affect nearly all Chinese imports to the U.S. 

What Happened

Trump said another $267 billion in tariffs are "ready to go," according to reporters who were aboard Air Force One Friday. 

On Thursday, White House economic adviser Larry Kudlow told Bloomberg that Trump is willing to meet with Chinese leader Xi Jinping if China shows a willingness to compromise. 

Why It’s Important

Asian markets fell across the board on the tariff news. Japan’s benchmark Nikkei dipped 1 percent and Hong Kong's Hang Seng fell 0.3 percent. The iShares FTSE/Xinhua China 25 Index (ETF) (NYSE: FXI) was down 1.11 percent Friday afternoon.

U.S. markets have not reacted well either. On Thursday, the S&P 500 Index dropped 0.4 percent, The Nasdaq composite fell 0.9 percent and The Russell 2000 fell 0.8 percent.

Immediately after Trump's report, the Dow Jones Industrial Average dropped 0.23 percent to a session low.  

The increasing reality of the trade war will likely continue to affect the U.S. market, as stocks remain on edge as announcements and timelines are pending.

What’s Next

The first set of tariffs could be enacted as early as September, according to Height Securities. If the second set follows suit, both will likely be in effect by the new year.

In an effort to preview the potential impact of the looming tariffs, Benzinga has researched potential ramifications within numerous sectors such as tech, opticalmanufacturing and airlines.

Related Links:

What Is A Tariff And What Does It Do?

Trump's $505B China Tariff Threat, Explained

White House photo by Joyce N. Boghosian.

Posted-In: Air Force One BloombergGovernment News Regulations Politics Media General Best of Benzinga

 

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