US imposes new tariffs on $50 bn worth of Chinese imports

President Donald Trump ‘s grand strategy to force China, the EU, Canada and others to mend their ways and lower tariffs and other barriers to trade. And keeps his campaign promise of “America First in Trade.”

New tariffs on $50 bn worth of imports from China would “serve as an initial step toward bringing the balance to the trade relationship between the United States and China” president Trump said.

He was highlighting the $337 bn annual deficit in goods and services trade with China, a figure that has become an obstruction to his administration.

The White House sees both the tariffs and the uncertainty created by US disruption of the global trading system as ways to bring about new investment in the US and the return of manufacturing jobs.

Mr Trump also threatening to impose further levies on the $190 bn in car and light trucks that the US import each year as well as auto parts. This will seriously disrupt an industry that accounts for 8.5 per cent of global trade and damage seriously major trading partners such as the Canada, Germany, Mexico and Japan.