China is punching back in the escalating trade dispute with the United States, announcing plans for heavy new tariffs on dozens more U.S. goods according to a report at CNN Money.
The Chinese Ministry of Commerce on Wednesday said it plans to impose a 25% tariff on $50 billion worth of U.S. exports. The 106 affected products will include soybeans and corn, as well as aircraft and automobiles.
China's announcement is a direct response to the Trump administration's publication Tuesday of a list of about 1,300 Chinese exports -- also worth about $50 billion annually -- that it intends to target with 25% tariffs.
The quick-fire exchange of threats is intensifying fears of a full-blown trade war between the world's two largest economies. Markets dipped sharply as news of China's plans emerged.
Experts said Beijing's latest announcement could be an effort to push the United States into negotiating a deal to defuse the trade spat.
"The true purpose is not to escalate it to a trade war, but to demonstrate no weakness," said Aidan Yao, an economist at fund management firm Axa Investment Managers.
It's still not clear when the new waves of tariffs announced by the two sides might take effect -- or if they'll be watered down in the meantime. China said the timing would be announced separately. The U.S. government said it will hold a public hearing for US businesses about its plans next month.
Read the full report here.
