Another week, and another trade war retaliation. Yesterday, President Trump announced via twitter, his intentions to raise the October 1st Chinese import tariffs from 25% to 30% on $250 Billion worth of goods. He also added that the September 1st tariffs on $300 Billion of Chinese imports will now be 15% instead of 10%. The tweets predictably hurt the stock market Friday, as the Dow closed down over 600 points.
This tariff hike comes after the Office of the U.S. Trade Representative called Beijing’s planned tariffs on U.S. goods “unjustified.” President Trump is not relenting in his quest to restore balance to US-Chinese trade practices, even if it brings short-term harm and market instability. This is a situation we will be continuing to monitor and provide up to date news for you.