Trade War Round 2: US Releases China Tariff List Targeting 1,300 Products

Assuring that a second retaliation by China in the escalating trade war is just a matter of days if not hours, moments ago the US Trade Representative released a list of Chinese product subject to 25% tariffs as part of Trump's Section 301 crackdown on Beijing Intellectual Property abuses, focusing on China's high tech product push.

The list covers about 1,300 tariff lines, or 44 pages, the USTR said referring to a system of codes used to categorize products. It added that the value of the list is approximately $50 billion in terms of estimated annual trade value for calendar year 2018, a level which is "appropriate both in light of the estimated harm to the U.S. economy, and to obtain elimination of China’s harmful acts, policies, and practices."

Some example of are shown below:


Below we list the top US imports from China. Not surprisingly, most are found in the new tariff list:

  1. Telecom equipment
  2. Computers
  3. Toys
  4. Office equipment
  5. Furniture
  6. Seats (professional chairs)
  7. Auto parts
  8. TVs
  9. Lamps & lighting
  10. Suitcases & bags

What else is in the list?

“Stuff that you put on your body: spared. Stuff you put in your home: targeted,” said Hun Quach, vice president of international trade for the Retail Industry Leaders Association. Some more details from Bloomberg:

In some cases the tariffs targeted raw materials and components used to assemble finished goods in the U.S., such as ingredients for insulin, while in others the items were complete products, like Chinese-assembled cars. Many of the affected products were machines used to make other things, vexing factory owners accustomed to being praised by Trump for manufacturing in the U.S.

While apparel and footwear won’t get additional tariffs, some equipment used to make them, like textile printers and injection molders for shoes, are getting taxed. “Tariffs on certain machinery will make American-made products more expensive,” said Matthew Shay, president of the National Retail Federation, in a statement.

With the list published, the National Association of Manufacturers will be consulting with its members about what specific products on the list it may oppose and try to get removed during the comment period, spokesman Michael Short said. The group urged Trump to pursue a bilateral trade agreement with China rather than act on its own.

Trade industry associations also said they are expressing their concerns about the tariffs publicly and privately with the administration and will be active during during the comment and review period to determine the final list of products subject to tariffs.

The list of products included in the USTR list also lines up with technologies China identified in its “Made in China 2025” strategy, White House trade adviser Peter Navarro told Bloomberg Television on March 28.

“China, in my view, brazenly has released this China 2025 plan that basically told the rest of the world, ‘We’re going to dominate every single emerging industry of the future, and therefore your economies aren’t going to have a future,”’ Navarro said. “It’s artificial intelligence, robotics, quantum computing.”

As a reminder, "Made in China 2025" was announced in 2015, and highlighted 10 sectors that need support on the way to China becoming an advanced manufacturing power; these include: Information technology, high-end machinery and robotics, aerospace, marine equipment and ships, advanced rail transport, new-energy vehicles, electric power, agricultural machinery, new materials, and bio-medical. China also has a separate development strategy for artificial intelligence, published in 2017.

While both investors and businesses have been awaiting details of Trump’s plan to place tariffs on $50 billion in Chinese goods, nobody was looking forward to the list more than China itself. As we reported this morning, China's US Ambassador said that Beijing is preparing aggressive counter-measures of the “same proportion, scale and intensity" once the Trump administration imposes further tariffs on Chinese goods.

USTR Robert Lighthizer had until April 6 to publish a list of proposed products. There’s now a 60-day period when the public can provide feedback and the government holds hearings on the tariffs.

Back on March 22, Trump said that the tariffs were aimed at penalizing Beijing for what the U.S. alleges to be theft of American companies’ intellectual property.

While China already imposed tariffs in response to Trump’s actions on metal imports (under Section 232), it has repeatedly threatened additional retaliation if Trump unveils the list of Section 301 tariffs, something the Administration did on Tuesday afternoon.

U.S. retailers have voiced concerns tariffs (and an escalating trade war) may eat into consumer products such as shoes and clothing, hitting companies including Walmart Inc. and Target Corp.

On Monday, various PMI indices suggested that fears of tariffs are leading to a drop in confidence about the economy, and early inflationary pressures as producers begin to stockpile core products.

The full list of products that fall under the purview of Section 301 tariffs is below (link).


east of eden Hotapplebottoms Tue, 04/03/2018 - 18:39 Permalink

Huh? You are right in the middle of a revolution. How in fucks name do you think you can do anything except tend to your own affairs right now?

But I do agree, something and something BIG has to be done about the situation in ALL of Latin America. They need law enforcement, investment, social development and a whole lot of other things. That is definitely one area I think we need to take better care of. That whole area could be developed, properly, into a paradise.

In reply to by Hotapplebottoms

Brazen Heist BurningFuld Tue, 04/03/2018 - 20:20 Permalink

The US Deep State cannot coexist in peace without conflict and war. That much is clear. There seems to be an unhealthy obsession with the notion of "winning" whatever the fuck that even means anymore, even if it entails smiting one's nose and laughing it off.

Trade wars, hot wars, wars on drugs, poverty, terrorism, wars are the go-to default option.

Why don't they go for the Globalists who outsourced to China instead of blaming China?

In reply to by BurningFuld

just the tip Brazen Heist Tue, 04/03/2018 - 23:16 Permalink

Why don't they go for the Globalists who outsourced to China instead of blaming China?

that, jmo, is more than the $64K question.  you stated it a lot more concisely than i would have. 

considering  poverty and development, i've often wondered, amongst other things, considering the caravan coming from south of the southern border, why not exploit central america?  you don't have the shear numbers to exploit, but slave labor is slave labor.  and you don't have the ocean shipping to contend with.  you would not be restricted by the panama canal, that is being modified/enlarged as we type.  maybe that has something to do with united fruit company and their history in the region.

In reply to by Brazen Heist

Amicus Curiae BurningFuld Wed, 04/04/2018 - 06:10 Permalink

china pretty much has monopoly on co q10 and vit c and the base products to make insulin and some meds that are then relabelled and price hiked by ussa and eu pharmas for onsale under their labels

i noted antidepressant base as well as statin drugs and insulin listed

if Trump thinks usa makers can provide those meds without using the precursors from china,( some may be sourced from India but...)  hes been badly advised and people will be unable to buy  you have rising obesity insulin needs for one

huge amts of people on antidepressants and we know how bad they are when on them- withdrawals are even worse

think its a lot of foot shooting that will be regretted pretty fast

In reply to by BurningFuld

east of eden Zero Point Tue, 04/03/2018 - 18:10 Permalink

Take the length of time, in years, that your country has existed, and multiply it by 30. That is how long China has existed, and they have a great deal more experience than you do, in dealing with hardships.

Except this time, they are holding a much stronger hand, geopolitically, economically, militarily, and despite what the deep state wants you to believe, socially as well.

So, good luck trying to do whatever it is you're trying to do. It of course, means that you just signed your own death warrants.

In reply to by Zero Point

vato poco The_Juggernaut Tue, 04/03/2018 - 20:31 Permalink

To: Bossman For Life Xi

fr: regional ag subadministrator Wu

Yo, Bossman, in order to get anywhere NEAR close to this month's rice production quotas, ("a hungry nation wants more fuckin' rice!!" was a brilliant slogan, Bossman! You're like some kind of God!!"), we're gonna need another 350 million tons of night soil in Flungdu Province by friday. any chance you can make an EO telling everyone they 'must eat Thai' or something?? yeah, after 5000 years of civilization you might expect we'd have a handle on something like this, but ... 

In reply to by The_Juggernaut

east of eden HungryPorkChop Tue, 04/03/2018 - 18:46 Permalink

Well, the 'elites' plans, from the soured war between Iran and Iraq, to 9/11 to Iraq 2 to ISIS and the plan to demolish Syria + Ukraine don't seem to have worked very well. I guess it all happened when Wikileaks let loose and everybody (more or less) had the red pill shoved down their throats.

Yes, they are keeping everybody distracted but at a tremendous cost to themselves, both financially and socially.

The worm will turn, it always does. I am reading the first stories about children in England being so hungry they are stuffing food from school into their pockets.

This won't go on much longer.

In reply to by HungryPorkChop