China escalates trade war, hikes tariffs on $75 billion of American goods

US-China Trade war

Beijing, August 25: China on Friday announced tariff hikes on $75 billion of US products in retaliation for President Donald Trump's planned increase, deepening a trade war that threatens to tip the global economy into recession.

The tariffs of 10 per cent and 5 per cent take effect on two batches of goods on September 1 and December 15, the official Xinhua News Agency said.

It gave no details of what goods would be affected but the timing matches Trump's planned duty hikes.

The spiraling conflict over China's trade surplus and technology ambitions has fueled concern among companies and investors that it might drag down already weakening global economic growth.

China's government appealed to Trump this week to compromise in order to break a deadlock in negotiations.

Trump previously announced plans to raise tariffs on an additional USD 300 billion of Chinese goods after talks broke down in May.

They were due to take effect September 1 but some were postponed to December 15.

PTI

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