US-China trade war: Beijing will face additional tariffs Trump threatened to enact
The U.S. Trade Representative's office confirmed Wednesday that the U.S. will levy an additional 5 percent tariff on $300 billion worth of Chinese goods starting Sept. 1.
The tax, originally set at 10 percent, will now take effect at 15 percent. The decision comes after President Trump wrote on Twitter last week that the U.S. would ratchet up tariffs after China's "politically motivated" decision to raise taxes on U.S. goods. The two countries have engaged in a back-and-forth tariff battle for more than a year.
The tariffs on Chinese goods will be implemented incrementally. Officials will slap tariffs onto one batch of goods on Sept. 1 and another on Dec. 15.
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However, Trump declared that his negotiators were encouraged by recent communications from China on Sunday. The Chinese foreign ministry denied knowledge of any such communications, but stocks still received a boost early Monday after Trump's announcement.
American consumers felt slightly less confident in August compared to July as the trade battle continued.