China in fresh $16bn USA tariffs

Cars to be exported are seen at a port in Lianyungang Jiangsu province China

At the same time, Beijing reported a $28.1bn trade surplus with the USA in July, just below the record $28.9bn seen in June. On Tuesday, the administration said it had made a decision to go ahead with tariffs on 279 of the 284 items added in June; they're worth about $16 billion a year.

The world's two biggest economies are locked in a trade dispute over Washington's charges that China uses predatory tactics in a drive to supplant US technological supremacy.

Chinese exports increased more rapidly than expected last month, despite an escalating trade war with the United States.

After complaints by Chinese leaders, Trump agreed to reverse a US enforcement action that would have caused ZTE, a prominent state-owned telecom company, to go out of business.

Beijing has retaliated with its own duties on $34bn of USA goods. Beijing is expected to hit $16 billion worth of United States goods with equal tariffs in response to Tuesday's move.

Farmers for Free Trade in the US (FFF) has said American farmers are already seeing market disruption, and that the trade disputes "could cost billions of dollars to the already-stressed food and agricultural sector in the US".

ANZ senior China economist Betty Wang said Beijing will likely resist using its closely managed currency as a tool in the trade war.

"There is no off-ramp, and Trump has given China little wiggle room to save face and come to the bargaining table", he said.

On Tuesday, the Trump administration unveiled its own list of roughly $16 billion worth of imports from China that will be hit with 25% tariffs. There is a mandatory 60-day comment period for industries to ask for exemptions from the tariffs.

Beijing has called on United States officials to be "cool headed", but fired back warning it would impose duties on an additional $60 billion in U.S. goods, a threat the White House dismissed as "weak".

The trade balance between the two countries, which is at the center of the tariffs tussle, continued to be in favor of China.

As additional trade deals are signed, the president predicted that economic growth would "go much, much higher", a view at odds with his own administration's forecasts.

June 15: Trump rolls out thefinal list of goods subject to new tariffs.

A weaker yuan, which marked its worst 4-month fall on record between April and July, may have taken the sting out of 25 percent tariffs on $34 billion exports to the United States.

Chinese state media has said Beijing will not be cowed by Washington's threats. "This is a very unreasonable practice", the Chinese commerce ministry said on Wednesday.

The US plans to move forward with further tariffs on Chinese goods starting 23 August, its top trade negotiator has said.

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