President Donald Trump declared the trade war with China “done” on Wednesday, June 11, while U.S. Commerce Secretary Howard Lutnick said tariffs on Chinese goods will be locked in at the current 55% rate without additional increases.
“Our deal with China is done, subject to final approval with President Xi and me,” Trump said on Truth Social. “Full magnets and any necessary rare earths will be supplied, up front, by China. Likewise, we will provide to China what was agreed to, including Chinese students using our colleges and universities (which has always been good with me!). We are getting a total of 55% tariffs; China is getting 10 percent.”
White House officials told CNBC that the 55% tariff mentioned in Trump’s social media post comes from the stacking of the Chinese tariffs. This is the minimum rate being paid by U.S. shippers.
A White House official told the Wall Street Journal that the 55% represents the sum of a baseline 10% “reciprocal” tariff Trump has imposed on goods imported from nearly all U.S. trading partners; 20% on all Chinese imports because of punitive measures Trump has imposed on China, Mexico and Canada, associated with his accusation that the three facilitate the flow of the opioid fentanyl into the U.S.; and pre-existing 25% levies on imports from China that were put in place during Trump’s first term in the White House.
Many specifics of the deal and details on how it will be implemented remain unclear.
Read the full story here: https://sgbonline.com/exec-trump-announces-u-s-and-china-have-reached-trade-deal-with-55-percent-tariff/
