China announces 25% tariffs on $16 billion worth of US goods, including crude oil and cars
China said Wednesday it will retaliate against the latest round of U.S. tariffs on Chinese imports.
The Chinese Ministry of Commerce announced a 25 percent charge on $16 billion worth of U.S. goods. The goods being targeted by China include crude oil and cars. China is also going after coal, grease, Vaseline, asphalt and plastic products, among others.
China's announcement comes after the U.S. Trade Representative's office released a finalized list of $16 billion worth in Chinese goods that will be hit with tariffs. The U.S. charges will take effect on Aug. 23. The latest U.S. list brings the total worth of Chinese goods facing a 25 percent tariff to $50 billion.
"This is tit-for-tat exactly," said Art Hogan, chief market strategist at B. Riley FBR. "Our $16 billion comes at a scheduled time, which comes up on the 23rd. China said we see your $16 billion and we'll match your $16 billion."
"They'll pretty much match what we do until they have no more levers to pull. The bad news is the trade war fears in China are escalating. The major concern right now in trade is China," Hogan said.
Tensions between the U.S. and China have been simmering in recent months as the Trump administration takes a more protectionist stance when it comes to trade.
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