Published: Sat, September 15, 2018
Business | By Eloise Houston

Wall Street falls as Trump greenlights China tariffs

Wall Street falls as Trump greenlights China tariffs

But the timing for activating the additional tariffs was unclear, the person said. The company wanted that these could lead to consumers paying higher prices for the products.

Kyle Bruns packs a live lobster for shipment to Hong Kong at The Lobster Company in Arundel, Maine, on Tuesday.

In its editorial, the paper draws attention to China's bid to seek approval from World Trade Organisation to impose sanctions on United states, over threats to impose hefty tariffs by Washington. Exporters in the United States say their business in China has dried up since then.

Reuters could not immediately verify the report, which had an immediate effect on financial markets. It led US stocks to trade lower, fuelled drops in the Chinese yuan in offshore trading and gains in the dollar index, and sent the S&P 500 index negative. After these were first proposed several weeks ago, Apple warned that they'll likely increase the cost of many of its products.

On Wednesday, White House officials had seemed optimistic at the potential for new talks.

Treasury Secretary Steven Mnuchin has extended an invitation to talks to his counterparts in Beijing.

Treasury secretary's attempt to restart trade talks with Beijing and China welcomed the invitation on Thursday. He responded that he wasn't, two of the people said.

His first round of tariffs this summer hit $50 billion in Chinese products like high-end technology parts and manufactured goods, while Beijing fired back dollar-for-dollar at United States soybeans, autos and other farm goods.

"I think most of us think it's better to talk than not to talk, and I think the Chinese government is willing to talk", he said.

China said it will not buckle to USA demands in any trade negotiations, reported by Reuters.

Before his meeting on Thursday, Trump boasted on Twitter that he has the upper hand in the trade feud with Beijing and feels "no pressure" to resolve the dispute.

The announcement followed reports by American and European chambers of commerce that foreign companies in China have been hurt by earlier tariff hikes by both sides in the fight over Beijing's technology policy. Disclosure on Wednesday that the US sought to renew the talks rallied USA stocks and emerging-market assets.

On 7 September, Mr Trump said tariffs on $200bn in goods "could take place very soon" and added that tariffs on a further $267bn in goods were "ready to go on short notice if I want". There was no decision made during Thursday's meeting regarding when to issue the $267 billion round.

AmCham's survey results come a day after more than 60 USA industry groups launched a coalition called Americans For Free Trade, which aims to halt the White House's proposed tariffs.

Chinese funded publications and news agencies around the world continue to insist that the trade war's impact on the Chinese market is insignificant, but the numbers and the statements of China's leadership tell a different tale.

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