President Trump upped the ante against China on Tuesday — a day after he imposed tariffs on another $200 billion in Chinese goods — vowing to strike with “great and fast economic retaliation” if Beijing reacts by targeting American workers loyal to him with tit-for-tat levies.
“China has openly stated that they are actively trying to impact and change our election by attacking our farmers, ranchers and industrial workers because of their loyalty to me,” Trump wrote on Twitter, adding that Beijing has been “taking advantage of the United States on Trade for many years.”
“They also know that I am the one that knows how to stop it. There will be great and fast economic retaliation against China if our farmers, ranchers and/or industrial workers are targeted!” Trump continued.
Seemingly on cue, China said it had to retaliate because the United States has created “new uncertainty” between the world’s two largest economies.
“In order to safeguard our legitimate rights and interests and the global free-trade order, China will have to take countermeasures,” China’s Ministry of Commerce said.
It said it would impose new tariffs of between 5 percent and 10 percent on $60 billion worth of American imports Sept. 24, the same day the new US levies take effect.
The tariffs will apply to 5,207 items and will focus on agricultural goods such as wheat, soybeans and dairy products that affect the president’s political base in the heartland.
Nuts, alcoholic drinks, chemicals, clothes, machinery, furniture and auto parts will also be affected.
Trump announced on Monday that he plans to slap 10 percent tariffs on more than 6,000 Chinese imports worth $200 billion. The tariffs will rise to 25 percent Jan. 1.
He also threatened to impose an additional $267 billion in duties if China retaliated.
But during a White House event with Polish President Andrzej Duda, Trump kept his options open, saying, “We may make a deal at some point.”
“We’re making a lot of headway with China. China wants to come over and talk, and we are always open to talking,” he said.
Trump also took a swipe at the EU, of which Poland is a member.
“We are the piggybank to the world. We’ve been ripped off by China. We’ve been ripped off by — excuse me, Mr. President — the European Union, of which you’re a part of,” he said to some laughter from the crowd.
The US and China have each already placed duties on $50 billion worth of goods.
Speaking of the effect of the tariffs on Americans, Commerce Secretary Wilbur Ross told CNBC, “Nobody is going to actually notice [price increases]” because they will be “spread across thousands of products.”
In April, Trump tweeted that the trade conflict between the US and China won’t get in the way of his friendship with Chinese President Xi Jinping, whom he hosted at his Mar-a-Lago, Fla., estate and visited in Beijing.
“President Xi and I will always be friends, no matter what happens with our dispute on trade. China will take down its Trade Barriers because it is the right thing to do. Taxes will become Reciprocal & a deal will be made on Intellectual Property. Great future for both countries!” Trump wrote on April 8.
