Why China’s Response to Trump’s Tariffs Is So Muted<br />The move was in response to the Trump administration’s announcements<br />that it would apply tariffs on Chinese steel and aluminum, and came hours after Mr. Trump said he would impose tariffs on about $60 billion worth of Chinese-made products.<br />“We are confident and capable of meeting any challenge and hope<br />that the United States will pause on the brink of a precipice, make careful decisions and avoid dragging bilateral trade relations to a dangerous place.”<br />For now, the proposed Chinese penalties appear to be a carefully calibrated response<br />to the American steel and aluminum tariffs, which took effect on Friday.<br />China’s Ministry of Commerce said on Friday that it would impose tariffs on $3 billion worth of<br />American-produced fruit, pork, wine, seamless steel pipes and more than 100 other products.<br />Beijing said it would challenge the penalties at the World Trade Organization, and would carry out its trade restrictions in accordance with W. T.O.<br />“The U. S. has unsheathed its sword after an extended period of saber rattling, and the Chinese are now unsheathing their weapons.”<br />“I hope this will not spiral into a very broad set of sanctions on both sides,” he said, “but I think, given Mr. Trump’s instincts<br />and his very keen desire to deliver a political win whatever the political fallout might be, I don’t think it can be tamped down now.”<br />Stock markets in Asia slid on news of the escalating trade confrontation.<br />Analysts say the latest round of United States tariffs, if imposed, would likely have a minimal impact on the Chinese economy.
