Trump says United States lost China trade war years ago

Sean Reid
April 5, 2018

President Donald Trump tweeted that the USA was not in "a trade war with China, " hours after Beijing announced tariff hikes on 50 billion dollars worth of us products.

"As for reducing dependence on imports, there are a few options, but none is a magic bullet that could hurt USA farmers without generating costs at home".

The opening shots of a US-China trade war came in late March when President Trump called on trade officials to draw up a list of tariffs on $60 billion worth of Chinese imports.

Following are some of the possible winners and losers among US companies and sectors.

Soybeans have finally entered the US-China trade war.

Aircraft maker Boeing Co BA.N closed down 1 percent, weighing the most on the Dow Jones Industrial Average .DJI as documents from China's Ministry of Commerce and the USA manufacturer showed the move would affect some older Boeing narrowbody models. "Our action is restrained". Both countries are targeting $500 billion in goods. Turning Trump's base into advocates for de-escalation and offering a few concessions on issues like technology transfer, automotive joint ventures and finance that Beijing had already been mooting seems like the flawless way to back off from these tensions. "So, it's hardly a life-threatening activity", Mr. Ross said.

Cui Tiankai, Chinese Ambassador to the US, said if another round of tariffs or similar action is taken by Trump on intellectual property then China "will certainly take countermeasures of the same proportion and the same scale, same intensity".

"I can only hope that we solve our differences as soon as possible to avoid damage to the USA economy, Chinese economy and to USA companies". The company's stock fell as much as 3 percent before reversing course to close higher.

And both the United States and China acknowledge they are in active negotiations.

The policy calls for creating Chinese global leaders in electric cars, robots and other fields.

Industrial companies were rocked. More than 50 percent of the commercial jetliners operating in China are Boeing airplanes. He said it was "transparent, open and non-discriminatory" and foreign companies could participate.

"Trade uncertainty is the main headwind to the market", Charles St-Arnaud, an investment strategist at Lombard Odier Asset Management in London, said.

A report released Tuesday by the USTR also cited complaints Beijing uses cyber spying to steal foreign business secrets.

The moves triggered further heavy selling in global stock markets and commodities, with U.S. stock futures sliding 1.5%, soybean futures plunging 3.7% and the dollar and China's yuan both hit. That excludes high-end Boeing Co. jetliners such as the 747 and 777, leaving Beijing high-profile targets for possible future conflicts. The tariff rate for eight items of imported goods, such as pork and food products, is now 25 percent.

Marc Chandler, chief global currency strategist at Brown Brothers Harriman & Co in NY, said he did not believe a trade war had started yet.

Yet trade worries were never far away. Regulators have wide discretion to withhold licenses or take other action to disrupt logistics and other service businesses.

Hours earlier, China made a move that had all the makings of an all-out commerce dispute with the U.S. In response, China on Sunday slapped tariffs on $3 billion on agricultural products from the US including hog parts, wine, fruit and nuts.

USA trade policy has loomed over the markets since early March.

Trump has consistently attacked China for the large trade deficit between the two nations, which totaled $375.2 billion in 2017, and requested the Chinese government find a way to shrink the gap by $100 billion.

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