President Donald Trump jolted global markets on Monday by threatening on Twitter that tariffs already imposed on USD 200 billion in Chinese exports to US would more than double to 25 per cent on Friday from their current level of 10 percent.
Also speaking at the Paris Forum event, French Economy Minister Bruno Le Maire warned about the impact of a trade war between the world’s two biggest economies.
“We are following the current negotiations very closely between China and the United States and we want them to respect the principals of transparency and multilateralism,” he said.
He called on the two sides to “avoid taking decisions that would threaten and would undermine global growth in the months ahead.”
“Increasing tariffs is always a dead-end and a negative decision for the whole world, for the United States, for China, for the eurozone, for Europe and world growth,” he said.
China said Tuesday its top trade negotiator will visit the United States for talks with his American counterparts this week.
The countries have been locked in talks to resolve tensions that have seen both of them impose tariffs on goods worth USD 360 billion.
Treasury Secretary Steven Mnuchin has described the negotiations as 90 percent complete but told reporters that in recent days the talks went “substantially backward”, which he blamed on China reneging on previous commitments.