Trump Warns China Not to Delay Trade Talks


The latest tariff hike is feared to be a painful blow to American businesses, which can not absorb all the levies and, subsequently, will hurt consumers, who will eventually bear the cost of the tariffs.

US officials say China is the main source of illicit fentanyl and fentanyl-related substances that are trafficked into the United States, much of it through worldwide mail.

The Trump administration will begin collecting 15% tariffs on more than $125bn in Chinese imports, including smart speakers, Bluetooth headphones and many types of footwear.

In China, the authorities began charging higher duties on American imports at midday Sunday, said employees who answered the phone at customs offices in Beijing and Guangzhou.

The US says it will introduce a further round of tariffs on Chinese cellphones, laptop computers, toys and clothing from December 15. Consumer electronics are mostly unaffected by the expansion of these 15% tariffs, according to Bloomberg, with the notable exception of wireless audio devices and wearable products such as the Apple Watch.

Americans may start to feel the pinch, according to some studies.

That followed a JPMorgan Chase & Co note to clients estimating that the latest round of tariffs will increase the average cost per USA household to $1 000 a year - up from $600 for duties enacted last year. August also saw the yields - or returns - on short-term USA bonds eclipse those of long-term bonds for the first time since the financial crisis, a phenomenon which has preceded every recession since 1955 and signals that investors are scrambling for safer assets.

But with prices of many retail goods now likely to rise, the administration's move threatens the U.S. economy's main driver: consumer spending.

China also began putting 5% and 10% tariffs on about $75 billion worth of U.S. products, including crude oil. A further 3,361 items will face similar measures from December 15.

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Despite tariff hikes, Trump is still optimistic about the ongoing trade talks with Beijing.

"We are talking to China, the meeting is still on, as you know, in September", he said.

Trump ran for president in part on a promise to shrink US trade deficits all around the world.

"We still expect growth to stabilise, but later than envisaged before and at a lower rate", Kuijs said.

"China could get cold feet under the heavy pressure that President Trump puts on the country relentlessly", she added.

It just became 15% more expensive for USA companies to import everything from milk to diapers and sports equipment from China. Studies show that USA companies have already begun shifting their supply chains away from China to other countries such as Vietnam and Taiwan.

A snapshot of the country's giant manufacturing sector released on Saturday showed that activity contracted for the fourth month in succession in August.

"What Trump said is completely groundless and untrue", Liu Yuejin, the narcotics commission's vice commissioner, told reporters Tuesday.