More tariffs are on the way. Yes, you read that correctly, but this time, the tariffs aren’t aimed at some of America’s closest allies.
President Donald Trump will announce new tariffs 800-900 Chinese products, according to sources who spoke with CNBC. The list was slimmed down from about 1,300 products, and the exact dollar amount that the administration wants to target is not currently known. The president is expected to meet with top trade advisers to further discuss the sanctions.
Following the Singapore summit where the president met North Korean dictator Kim Jong-un, some analysts believe the tariffs may be an attempt to pressure the Chinese into cooperating with American efforts to keep the Hermit Kingdom at bay. A source that spoke to CNBC calls the tariffs a “fait accompli,” citing how the administration has circulated talking points for the tariff actions among 10 government agencies and made available a list of products already uploaded to a government database for implementation last April.
China hopes the United States makes a “wise choice” on the implementation of tariffs. The country had originally threatened retaliation if America imposed tariffs. Beijing hopes the two countries can work together on a better resolution that wouldn’t be mutually damaging like a trade war could be.
The president recently slapped aluminum and steel tariffs on the European Union and America’s neighboring allies, Canada and Mexico. His tariffs and actions at the recent G7 summit drew international scorn from some of America’s closest allies, including Canada. The president argued that the tariffs against Canada were necessary for national security reasons, citing the fact that Canada burned down the White House during the War of 1812. Canada did not in fact burn down the White House in the 19th century or at any point in time. Canada retaliated with $12.8 billion worth of tariffs on American goods.
AOL reports that “under the 1974 trade law that Trump invoked to pursue a tariff investigation into China’s intellectual property practices, he could delay the activation by 30 days. He can also delay the tariffs by another 180 days if the U.S. Trade Representative’s office finds negotiations with China are yielding progress.” A source speaking with Reuters said “the president’s trade team has recommended tariffs. If there are not tariffs, it will be because the president has decided that he’s not ready to implement tariffs,” the person familiar with the situation said.