Reuters: Dueling tariffs raise fears of long U.S.-China trade battle
BEIJING/WASHINGTON (Reuters) - The United States and China exchanged the first salvos in what could become a protracted trade war on Friday, slapping tariffs on $34 billion worth of each others’ goods and giving no sign of willingness to start talks aimed at a reaching a truce.
Duties on a range of Chinese goods imported into the United States took effect on Friday and were immediately countered by measures from China, with Beijing accusing the United States of triggering the “largest-scale trade war”.
The escalating fight between the world’s two biggest economies meant that it could “take economic and political pain to get these two parties to the (negotiating) table”, said Scott Kennedy, head of China studies at the Center for Strategic and International Studies in Washington.
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WNU Editor: The Chinese people that I know who follow such things believe the U.S. will be throwing in the towel and looking for a way out of this trade war by the end of this year (if not sooner). I see it differently .... this is going to be a long fight, and China will acquiese to a deal only when a good chunk of their exports are under U.S. tariffs and/or restrictions, and their stock and debt markets are seriously hurting. I give it two years (maybe more), and my prediction is that it will be at a setting like the G20 where a resolution will be discussed and agreed upon.
