* New levies on $75bn worth of American goods start as soon as September

BEIJING — China will impose additional tariffs of 5% to 10% on $75 billion worth of American products, the country’s State Council said Friday, retaliating against the latest round of tariffs announced by the U.S.

A total of 1,717 products such as soy beans, crude oil, steel plate and chemicals will be affected beginning Sept. 1, with another 3,361 items including lumber, automobiles and textiles to follow Dec. 15. The dates coincide with the start of new U.S. tariffs on Chinese exports.

China already has imposed tariffs on $110 billion of its imports from the U.S., or 70% of the total. Only $40 billion worth remains unaffected, meaning Beijing will double down on levies for certain items with its latest decision.

“We don’t need China and, frankly, would be far better off without them,” President Donald Trump tweeted on Friday in Washington, in response to Beijing’s announcement. “Our great American companies are hereby ordered to immediately start looking for an alternative to China, including bringing your companies HOME and making your products in the USA.”

Shortly after a cabinet-level meeting between the two sides at the end of July, the U.S. said it would enact an additional tariff on about $300 billion worth of Chinese products starting in September. The Trump administration later postponed the date to December for half of the affected balance, including smartphones and toys, amid concerns of the tariff’s effect on the holiday shopping season.

Some had hoped the delay would create more room for the two sides to reach an agreement. Still, any new American tariff hike will escalate trade frictions, Chinese Commerce Ministry spokesperson Gao Feng said Thursday.

“If the United States acts arbitrarily, China will have to take countermeasures,” he said.

The two countries plan another cabinet-level meeting during early September in Washington. The State Council, China’s cabinet, said that “cooperation is the only correct choice for China and the United States” in its statement announcing the latest tariffs, but the talks could fall through should tensions escalate.

asia.nikkei.com

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