China and the U.S. have been known as the two superpowers of the world in terms of trade and commerce. Both the nations have developed deep trade relations in last few decades. Moreover, the last ten years have been crucial in terms of growth in trade between both the countries as they have seen many improvements in terms of business opportunities. But the latest development seems to arise the fear of an all-out trade war between China and the United States.
The Guardian denoted the latest remarks of Chinese authority: "The unpredictability of [the] Trump administration has become mundane, or even boring for China." The authority also added that this unpredictability has represented two completely different approach of both the countries in terms of global trade.
Al-Jazeera hinted that the fear is based on Donald Trump's decision to impose tariffs on trade with China. The U.S. administration officially released a list of $50bn tariffs plan on Chinese imports, on Friday. The federal government has put a target to impose a 25% of tariff on the goods identified in the list. However, the administration has also revealed its plan to impose tariffs at higher rates if in case China declines this proposal and retaliates. President Trump has also added that the U.S. is imposing these tariffs in its attempt to sustain a fairer trade with China.
However, within hours of this revelation, China played its own stake in the competition. The Chinese administration unveiled its own list of tariffs on certain U.S. imports in its attempt to counterstrike the U.S. tariffs. The Chinese government identified 600 U.S. imported products and planned to place $50 billion tariffs on these. China's tariff list include beef, poultry, dairy products, pork, seafood, tobacco, and soybeans, according to sources.
While addressing Donald Trump's attempt to impose high taxes on Chinese trade, China's Xinhua news agency also criticised these attempts and addressed these as drastic developments in terms of trade and commerce. Moreover, the Chinese government has revealed its target to impose $16 billion on certain U.S. goods such as coal, crude oil, natural gas, medical equipment and other raw materials in near future. Experts have started claiming that both the nations are moving forward to an all-around trade war. However, as per Chinese state media, the administration of the country is still ready for negotiations with the U.S.
