Stock markets plunge as China announces retaliatory 34% tariffs on US goods – The Guardian

Just to remind: import duties in China vary between 5 and 25%.

Earlier this year, Donald Trump ordered an increase of import duties to 20% in total.

Now Donald Trump has increased US import duties from China to the US by 34%, totalling 54%.

The trade deficit of the US to China is almost USD 300 billions a year. A reason for the US to correct this imbalance by applying higjer tariffs on Chinese goods.

NB Canada and Australia have increased tariffs on Chinese goods in the past as well.

China today hits back and increases the import duties for US goods by 34% as well.

China may really suffer under the new US tariffs as the money stream from the US to China will reduce and maybe brin economic and social instability to China – and somehow to the rest of the World. This can be seen in the stock markets losses globally.