Active Stocks
Thu Mar 28 2024 14:49:26
  1. Tata Steel share price
  2. 155.95 2.03%
  1. HDFC Bank share price
  2. 1,455.55 1.03%
  1. ITC share price
  2. 430.95 0.69%
  1. Power Grid Corporation Of India share price
  2. 278.75 2.84%
  1. State Bank Of India share price
  2. 756.00 2.99%
Business News/ News / World/  Sign trade deal now or it will be 'far worse during my 2nd term': Trump threatens China
BackBack

Sign trade deal now or it will be 'far worse during my 2nd term': Trump threatens China

Two days of trade talks between US and China ended Friday with no deal
  • Trade deal will become far worse for China if it has to be negotiated in my second term, says Trump
  • US President Donald Trump. Photo: ReutersPremium
    US President Donald Trump. Photo: Reuters

    Washington: President Donald Trump warned China on Saturday that it should strike a trade deal with the United States now, otherwise an agreement would be "far worse for them if it has to be negotiated in my second term".

    Washington and Beijing are locked in a trade battle that has seen mounting tariffs, sparking fears the dispute will damage the global economy.

    Two days of talks ended Friday with no deal. China's top negotiator said the two sides would meet again in Beijing at an unspecified date, but warned that China would make no concessions on "important principles."

    "I think that China felt they were being beaten so badly in the recent negotiation that they may as well wait around for the next election, 2020, to see if they could get lucky & have a Democrat win — in which case they would continue to rip-off the USA for $500 Billion a year," Trump said in a tweet Saturday.

    "The only problem is that they know I am going to win (best economy & employment numbers in US history, & much more), and the deal will become far worse for them if it has to be negotiated in my second term. Would be wise for them to act now, but love collecting BIG TARIFFS!" Trump had accused Beijing of reneging on its commitments in trade talks and ordered new punitive duties, which took effect Friday, on $200 billion worth of Chinese imports, raising them to 25 percent from 10 percent.

    He then cranked up the heat further, ordering a tariff hike on almost all remaining imports -- $300 billion worth, according to US Trade Representative Robert Lighthizer -- from the world's second-biggest economy.

    Those tariffs would not take effect for months, after a period of public comment.

    Trump also said Saturday that firms could easily avoid additional costs by producing goods in the United States.

    "Such an easy way to avoid Tariffs? Make or produce your goods and products in the good old USA. It's very simple!" he tweeted, echoing a similar message he sent Friday -- and even retweeted.

    Only a week earlier, the United States and China had seemed poised to complete a sweeping agreement.

    Washington wants Beijing to tighten its intellectual property protections, cut its subsidies to state-owned firms and reduce the yawning trade deficit; China wants an end to tariffs as part of a "balanced" deal.

    While supporters laud Trump as a tough negotiator, free-trade-minded Republicans have warned that the tariffs could do real damage to the economy, and many farmers -- including Trump supporters -- say the tariffs have hit their bottom line.

    As the trade war spread, China imposed $110 billion in duties on farm exports and other US goods.

    Republican Senator Chuck Grassley, from the farm state of Iowa, cautiously welcomed the new tariffs but urged negotiators to reach a quick solution "so we can avoid prolonged tariffs, which we know have an impact on the US economy."

    Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it's all here, just a click away! Login Now!

    This story has been published from a wire agency feed without modifications to the text. Only the headline has been changed.

    Catch all the Business News, Market News, Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.
    More Less
    Published: 12 May 2019, 09:49 AM IST
    Next Story footLogo
    Recommended For You
    Switch to the Mint app for fast and personalized news - Get App