As a calm response to the first shot fired in the trade war by former President Donald Trump, China has revealed new tariffs that will hit several American companies and certain US goods.
The goal of the move is to find a middle ground between reacting to US economic actions and keeping trade tensions between the world’s two biggest economies from getting worse.
The tariffs were announced by China’s Ministry of Commerce in a statement early Monday morning.
They confirmed that a number of new taxes would be put on important American goods.
The exact effects of the tariffs are still a secret, but people who know about the situation say that they will mostly have an impact on well-known industries like manufacturing, technology, and farmland.
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Beijing also made it clear that it wanted to go after American companies that do business in China, but it didn’t take any broad actions that would have a big effect on business in general.
Analysts believe that China’s targeted actions are meant to avoid a full-blown trade war while still showing unhappiness with the tariffs that were first put in place by the Trump administration.
Both countries are still dealing with the economic effects of their trade dispute as this new round of tariffs comes into effect.
Previous rounds of tariffs have messed up global supply chains and slowed down the growth of international trade. China’s latest response seems to be designed to have the least amount of effect while still sending a clear message to Washington.
