The package is proposed to be applied to over 100 products that have reportedly been developed by using trade secrets that China stole from U.S. companies or forced them to hand over in exchange for access to its massive market, the paper reported. But, is Trump's tariff package feasible?
President Donald Trump is preparing to follow through on an issue he campaigned heavily on - addressing the US trade imbalance with China.
Imposing duties on imports of those products could spell trouble for some prominent USA retailers, including Walmart and BestBuy, which sell products imported from China.
Imports make up about one-fourth of USA steel consumption.
China accounts for only about 2.5 percent of USA steel imports, but Trump administration officials and tariff supporters have argued that Chinese-made steel makes its way to America though other nations.
The signatories, which include Walmart, Target, JC Penney, American Eagle Outfitters, and Costco, account for more than USD1.5 trillion in annual sales and tens of millions of American jobs. That is the essence of the fear of a wide-spread "trade war" due to such tariffs.More news: Key figure in Japan land scandal to testify
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The United States charges that the Chinese government and companies have stolen the intellectual property rights of USA companies and that damages run into hundreds of billions of dollars.
Broad tariffs on Chinese goods would "trigger a chain reaction of negative consequences for the USA economy", a coalition of more than 40 business groups led by the Information Technology Industry Council said Sunday in a letter to Trump.
Critics have argued that USA -imposed tariffs on China will barely hurt the South Asian country but could lead to trade wars with the countries in the European Union.
The U.S. reports a record trade deficit with China of $375 billion. Although a host of U.
Adding that China would work to "strictly protect" intellectual property rights and would guard foreign investors by ensuring that no foreign firms are forced to transfer technology to their Chinese partners in the midst of China further opening its manufacturing sector to foreign investors. While the president is doing this in the name of protecting businesses, some of the major USA companies that deal with China-including Walmart and Amazon-are anxious the tariffs will backfire by setting off retaliatory penalties from Beijing.
The tariff package, which Trump plans to unveil by Friday, could be applied to more than 100 products that the president argues were developed using trade secrets that China stole from US companies or forced them to hand over in exchange for access to its massive market. "Then pretty quickly the economic significance of the tariffs get whittled down to something more symbolic", he said.