Trump intensifies trade war in China with import duties of $ 200 billion – live business | Business

Duncan Innes-Ker of the Economist Intelligence Unit points out that America is now targeting low value manufactured goods.

This could stimulate production outside China, perhaps to Vietnam and Mexico

impact on Chinese factories

China exports about $ 500 billion worth of goods each year to the United States. If these tariffs are respected, about half of these goods will arrive with additional taxes that will be applied to them.

This could harm the demand for Chinese products in America, causing damage in China and beyond.

Zhu Huani of Mizuho Bank :

"Given the magnitude and width of the tariff list, the impact should be reflected on the chains supply and cause collateral damage to regional economies ".

The British FTSE 100 Index fell 60 points, or 0.8%, to 7630 in early trading

D & # 39; other European markets are also losing steam

The Chinese stock market has fallen by more than 2% after America announced that it was aiming for $ 200 billion more

The CSI 300 lost 77 points to 3,390, coming down from 18 months ck last week

Konstantinos Anthis Head of Research at ADSS says that there is a shock during Washington's last move

This new $ 200 billion salvo would constitute a breakthrough The world's strongest economies and the likelihood of this conflict weighing on global growth are accumulating

European and American markets reflect investors' nervousness and gains this week are now under threat

Hello and welcome to our continued coverage of the global economy, financial markets, the euro zone and business.

World markets are shaken this morning after the intensification of the trade war between the two countries.

Overnight, Donald Trump began imposing 10% tariff on an additional $ 200 billion imported from China, in addition to the $ 34 billion (soon $ 50 billion) imposed last week.

Trade war between Washington and Beijing, further increasing the dangers of a major economic shock.

Robert Lighthizer, US Trade Representative, announced that the United States was acting because China had ignored previous warnings.

For more than a year the administration has patiently urged China to stop unfair practices, open its market and engage in real competition in the market.

We have been very clear and detailed about the specific changes that China should undertake. Unfortunately, China has not changed its behavior – a behavior that jeopardizes the future of the US economy. "

The list of products subject to tariffs is long and varied – from vacuum cleaners and TV components to bricks, tires and badgers (I am going to put together a longer list as soon as possible)

This decision was quickly and heavily criticized by China, which stated that it was "totally unacceptable" for America to continue to escalate the trade dispute. (19659021) Investors also reacted badly, as emerging market equities and currencies fell overnight

The MSCI index of Asia-Pacific ex-Japan shares fell by 1.1% and the Japan Nikkei index by 1.1%.

European equity markets should follow the example of Asia, economists warning that a trade war would cause serious economic harm.

The Agenda

• 15:00 BST: Bank of Canada decision on interest rates
• 16:30 BST: The Governor of the Bank of … England, Mark Carney, speaks at a conference on the global financial crisis in Mbadachusetts