Next Chinese sectors targeted by Trump tariffs could be tech and telco

Next Chinese sectors targeted by Trump tariffs could be tech and telco

US President Donald Trump is mulling fresh tariffs on billions of dollars in Chinese imports, aiming in particular at the tech and telecommunications sector, according to media reports.

As reported by CNBC, Trump vetoed proposals of tariffs on $30 billion of Chinese imports, claiming that more aggressive tariffs are necessary.

The White House spokeswoman declined to provide details about how the administration would like China to accomplish the surplus-cutting goal - whether increased purchases of USA products such as soybeans or aircraft would suffice, or whether it wants China to make major changes to its industrial policies, cut subsidies to state-owned enterprises or further reduce steel and aluminum capacity.

Trump has imposed new tariffs on steel and aluminium, arguing that protecting domestic producers is a matter of national security, a move that has raised fears of a possible trade war.

Washington is targeting Chinese high-tech companies to punish them for forcing USA companies to give up their technology secrets in exchange for being allowed to operate in the country. She added that what we are talking about are not fancy expensive sweaters, but cotton T's, jeans and shoes that children wear to school.

The White House recently urged the top economic adviser of Chinese President Xi Jinping to come up with a plan for reducing that number. Earlier this year, Trump pulled the USA out of the Trans-Pacific Partnership.

In the last few days, China has warned United States of retaliation. Additionally, the president criticized several European countries of engaging in unfair trade deals with the U.S.

His administration is negotiating to revamp the North American Free Trade Agreement and last week announced the imposition of tariffs on steel and aluminum imports.

At a meeting last week, Trump told Cabinet members and aides that he wanted to hit China hard over its alleged theft of American intellectual property, according to Politico, which cited three people with knowledge of the matter.

A China-based business source with knowledge of discussion among senior European officials said there had been a "clear effort" by the USA government over the past six months to introduce a coordinated approach to Chinese industrial policy, but that Trump's metals tariffs had undermined European support. "He's serious about calling their hand on this, and my understanding is they are looking at a broad array of options to do that", U.S. House Ways and Means Committee Chairman Kevin Brady said to reporters.

Related Articles