Trump vs. Xi: The sequel nobody asked for
On Friday President Trump declared plans to impose a tariff on all Chinese imports dramatically escalating exchange tensions and throwing a planned meeting with Chinese President Xi Jinping into question The move unveiled Friday comes after Beijing restricted exports of rare earth minerals critical to U S hardware and defense industries Trump framed the new tariffs as retaliation for what he called China s economic aggression warning that America will no longer be dependent on hostile powers for vital materials The White House explained the administration is also reconsidering U S participation in the upcoming APEC summit where Trump and Xi were expected to hold bilateral talks Economists and business experts straightaway warned that such tariffs could spark a new business war disrupt global supply chains and raise prices for American consumers Major U S industries from electronics to automotive manufacturing rely heavily on Chinese components containing rare earths The announcement sent markets tumbling with the Dow dropping sharply in afternoon trading Analysts described the move as economic brinkmanship noting that China could retaliate by targeting U S exports or restricting access to key materials even further China s Ministry of Commerce condemned the plan as unreasonable and harmful to both nations signaling foreseen countermeasures Meanwhile business groups and congressional leaders from both parties urged the White House to pursue negotiation rather than escalation If enacted the tariffs would represent one of the harshest business penalties ever imposed between the world s two largest economies and could redefine the trajectory of U S China relations for years to come Read mor about Trump s tariff hikes Trump delays tariff hike on Mexican imports Trump promises Russia tariffs if no peace deal reached Trump announces steep new tariffs on Japan South Korea The post Trump vs Xi The sequel nobody solicited for appeared first on Salon com
