- This story is developing, more to follow
Xi Jinping‘s China will impose 84% tariffs on U.S. goods from Thursday, up from the 34% previously announced, the finance ministry said on Wednesday.
The ministry said these changes will take effect from midnight local time (5am UK time) April 10.
It added that it was putting export controls on 12 more American companies, and had added six more US firms to its list of ‘unreliable entities’ that are largely banned from doing business in China or with Chinese companies.
These companies have not yet been announced.
This is the latest escalation in the rapidly growing trade war between the US and China, which began after US president Donald Trump slapped imports from Xi Jinping’s nation with an effective 104% levy.
The levies were part of a mass imposition of reciprocal tariffs on American trading partners, who Trump accused of exploiting the US.
Imports to the US from almost all nations on Earth were hit with a baseline 10% levy, with Trump’s administration increasing the percentage based on trade deficits.
Trump’s tariffs have caused global markets to drastically crash. So far today, the FTSE 100, an index fund detailing the value of Britain’s 100 largest firms, dropped 3.3%.
Germany‘s DAX was down 4%, while the French CAC 40 was down 4%. US index funds are also expected to fall when they open at 2.30pm UK time.
China today told the World Trade Organisation that the US’ decision to impose these mass tariffs threatens to further destabilise global trade.
Xi Jinping’s (pictured) China will impose 84% tariffs on U.S. goods from Thursday, up from the 34% previously announced
‘The situation has dangerously escalated. …As one of the affected members, China expresses grave concern and firm opposition to this reckless move,’ China said in a statement to the WTO on Wednesday that was sent to Reuters by the Chinese mission to the WTO.
More to follow.
