Trade war: US hits China with new wave of tariffs

(FASTNEWS | COLOMBO) – The US has imposed fresh tariffs on $112bn (£92bn) of Chinese imported goods such as shoes, nappies and food.

The new tariffs are a sharp escalation in the bruising trade war, and could cost households $800 a year.

The move is the first phase of US President Donald Trump’s latest plan to place 15% duties on $300bn of Chinese imports by the end of the year.

In response, Beijing introduced 5% tariffs on US crude oil, the first time fuel has been targeted.

If fully imposed, Mr Trump’s programme would mean that nearly all Chinese imports – worth about $550bn – would be subject to punitive tariffs.

What was initially a dispute over China’s allegedly unfair trade practices is increasingly seen as a geopolitical power struggle between the world’s two largest economies. (BBC)