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US-China trade war: Trump suspends tariff hike

2 Min Read

The United States President, Donald Trump, after several hours of a conciliatory move by China, took to his Twitter page to announce that he would delay by the two weeks, the next increase in tariffs on Chinese goods as a gesture of good will which is intended to advance trade talks that have stalled progress for months.

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The Chinese government, who had made the move to grant 16 U S products a one-year exemption from  Beijing’s retaliatory tariffs, requested through its Chief trade negotiator, Vice Premier Liu He a delay on tariff hike by Trump to avoid imposing the tariffs as the People’s republic of China celebrated its 70th anniversary.

“This is a response to the Chinese goodwill gesture,” said Michael Pillsbury of the Hudson Institute, who has advised the administration on China.
“This is goodwill gesture for a goodwill gesture.”

However, according to Vangard’s report, US-China relations remain fraught. On Sept. 1, the United States imposed a 15 per cent tariff on an additional $112 billion of Chinese goods.

Subsequently, the next increase which has  been delayed but not canceled, the United States will raise to 30 per cent from 25 per cent its import levy on $250 billion worth of Chinese products by Oct  15.

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