Trade War Between China & US
Trade War Between China & US: Washington published a list of $50 billion in Chinese products that will face US tariffs. In response from Chinese embassy which stated that Beijing will resort to the World Trade Organization´s (WTO) dispute settlement mechanism, and take corresponding measures of equal strength and scale against US products in accordance with the Chinese law.
The US list includes electronics, aircraft parts, satellites, medicine, machinery and other goods has yet to be finalized and is intended as a response to China´s alleged theft of American companies´ intellectual property and technology.
As per media sources China has completed its list of retaliatory tariffs on US products and will release it soon. The list will involve major Chinese imports from the US. Beijing could hit major industries such as soybeans and aerospace. China retaliated to separate US tariffs on steel and aluminum by placing new duties on $3 billion worth of American goods, including pork, wine and fruits.
Exports to the US made up 18.9% of all exports last year, according to China’s customs data. US demand drove 2.5 % of China’s GDP, research firm Capital Economics estimated. China imported $154 billion of US goods last year.
It is speculated that these actions have raised fears of a trade war speeding up the global stock markets. Last month US Treasury Secretary Steven Mnuchin said a trade war was not the objective and the countries were continuing to discuss trade issues. US has outlined a number of areas where China falls short in protecting IP, including forcing US companies in China to transfer technology in return for market access. China maintains that they are building an innovative society and the work of intellectual property (IP) protection is of utmost importance.