WASHINGTON (AP) President Donald Trump brought the worlds two biggest economies to the brink of a trade war Friday by announcing a 25 percent tariff on up to $50 billion in Chinese imports to take effect July 6.
Beijing quickly responded that it would retaliate with penalties of the same scale on American goods and it spelled out details to impose tariffs on 545 U.S. exports, including farm products, autos and seafood, according to a report in the Wall Street Journal.
In announcing the U.S. tariffs, Trump said he was fulfilling a campaign pledge to crack down on what he contends are Chinas unfair trade practices and its efforts to undermine U.S. technology and intellectual property.
The prospect of a U.S.-China trade war jolted financial markets Friday. The Dow Jones industrial average was down more than 220 points in mid-afternoon trading. Other stock averages also sank.
