The drums of the great Commercial War knocks.. And its weapons in billions
- 2018-08-23 22:55:08
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Washington _ Agencies
The war between the world's two greatest economic powers was borrowed after Washington imposed tariffs on Chinese goods worth 16 billion dollars Thursday, while China responded to the US escalation in a few minutes.
The total number of goods charged in both Washington and Beijing amounted to $100 billion, following the entry into force of the second levy on the products of the two countries.
The US administration approved another package on July 6 for a 25 percent fee of 34 billion dollars, and the Chinese response to the package came quickly.
A third fee package is expected to come into effect in September and will affect 200 billion dollars of Chinese products.
The escalation comes as Washington hosts US-China talks aimed at ending the trade war between the world's two first economic powers.
The Chinese Ministry of Commerce accused Washington of "intransigence" by applying the latest tariffs, adding, in a brief statement, that "China firmly opposes this and will continue to take the necessary countermeasures," noting in this regard that it would sue for such fee procedures under the dispute resolution mechanism in World Trade Organization (WTO), according to Reuters.
China's total annual exports to the United States are over 500 billion dollars, compared with us imports of about 134 billion dollars.
Experts in the World economic field believe that an import levy of about 100 billion dollars would reduce world trade by up to 0.5 percent.