America Seeks Talks as Xi’s Tariffs Prove 4x as Effective as Trump’s

The U.S. government is seeking to restart talks with the China to avoid a adding duties on a further $260 billion of bilateral trade on top of $100 billion covered in two phases on July 6 and August 23. The request follows a 42% drop in July vs. a year earlier in American exports covered by China’s initial $36 billion round of products covered.

By contrast the Trump administration's tariffs on Chinese exports cut shipments by just 10%. Not all the duties “worked” either. There was a 77% increase in imports of mid-engined cars, possibly as automakers sought to preempt section 232 duties.

Excluding the automotive industry there was a 13% decline in imports. Buyers of disc-drives (down 87% or by $65 million) suffered the most followed by printers / parts (74% lower). In the capital goods sector imports of jet engines / parts fell by 54%.