• Follow us

Economy

Trump delays tariffs on Chinese cellphones, laptops, toys; markets...

WASHINGTON (Reuters) - U.S. President Donald Trump on Tuesday backed off his Sept. 1 deadline for 10% tariffs on remaining Chinese imports, delaying duties on cellphones, laptops and other consumer goods, in the hopes of blunting their impact on U.S. holiday sales.

The delay which, affects about half of the $300 billion target list of Chinese goods - along with news of renewed trade discussions between U.S. and Chinese officials - sent stocks sharply higher and drew cautious relief from retailers and technology groups.

Trump’s 10% tariffs will be effective from Dec. 15 for thousands of products including clothing and footwear, possibly buttressing the holiday selling season from some of the fallout from the protracted trade spat between the world’s two largest economies.

“We’re doing this for Christmas season, just in case some of the tariffs would have an impact on U.S. customers,” Trump told reporters in New Jersey. “Just in case they might have an impact on people, what we’ve done is we’ve delayed it so that they won’t be relevant to the Christmas shopping season.”

The U.S. Trade Representative’s Office announced the decision just minutes after China’s Ministry of Commerce said Vice Premier Liu He conducted a phone call with U.S. trade officials.

Liu agreed with U.S. Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin to speak again by phone within the next two weeks, the ministry said.

Trump has said the two sides may still meet in early September as scheduled.

APPLE SHINES

The delay in tariffs on a substantial portion of a $300 billion list of remaining Chinese imports sent U.S. stocks surging, after steep losses in the past week, with the Standard & Poor's 500 .SPX up 1.5% and the Nasdaq Composite .IXIC gaining nearly 2%.

Shares of market bellwether Apple Inc (AAPL.O) soared 4.2% on news that its core iPhone, tablet and laptop computer products would be spared from tariffs for the time being.

But the Trump administration still plans to impose 10% tariffs on thousands of Chinese food, clothing and other consumer electronics products beginning Sept. 1.

Among these are Chinese-made smartwatches from Apple and Fitbit (FIT.N), smart speakers from Amazon.com Inc AMZN., Google (GOOGL.O) and Apple, and Bluetooth headphones and other devices, a category estimated at $17.9 billion last year by the Consumer Technology Association.

Flat screen televisions from China, a category worth $4.5 billion, also will face 10% tariffs on Sept. 1 after being spared from Trump’s first round of tariffs more than a year ago.

Live animals, dairy products, skis, golf balls, contact lenses, lithium ion batteries and snowblowers will also get tariffs on Sept. 1

A trade group representative said USTR informed them that it opted to delay tariffs on items where China supplies more than 75 percent of total U.S. imports. Product categories where China supplies less than 75 percent will still face tariffs on Sept. 1, the representative said, speaking on condition of anonymity because the information was not publicly released.

According to U.S. Census data, China supplied 82 percent of U.S. cell phones and 94.5 percent of U.S. laptops in 2018.

FILE PHOTO: U.S. President Donald Trump meets with China's President Xi Jinping at the start of their bilateral meeting at the G20 leaders summit in Osaka, Japan, June 29, 2019. REUTERS/Kevin Lamarque/File Photo

Based on a Reuters analysis, the delay could extend to around half of the $300 billion list of remaining Chinese imports. Chinese imports subject to the tariffs on Dec. 15 totaled about $156 billion last year, according U.S. Census bureau data.

While most retailers would have stocked their holiday merchandise before the September deadline, some might have faced the tariffs for fill-in orders late in the holiday shopping season.

Still, the Retail Industry Leaders Association said “removing some products from the list and delaying additional 10% tariffs on other products, such as toys, consumer electronics, apparel and footwear, until Dec. 15 is welcome news as it will mitigate some pain for consumers through the holiday season.”

The Consumer Technology Association applauded the delay on some items, but added: “Next month, we’ll begin to pay more for some of our favorite tech devices – including TVs, smart speakers and desktop computers. The administration should permanently remove these harmful tariffs and find another way to hold China accountable for its unfair trading practices.”

The 21-page-list of products that will not get hit with tariffs until December also includes baby monitors and strollers, microwaves, instant print cameras, doorbells, high chairs, musical instruments, ketchup dispensers, baby diapers, fireworks, sleeping bags, nativity scenes, fishing reels, paint rollers and food products.

A separate group of products will be removed from the tariff list altogether, the USTR said, “based on health, safety, national security and other factors.” It did not immediately identify these items.

Trump announced the Sept. 1 tariffs less than two weeks ago, blaming China for not following through on promises to buy more American agricultural products during talks in Shanghai at the end of July. That move was met with a drop in China’s yuan currency a few days later, prompting the Trump administration to declare Beijing a currency manipulator and sending markets tumbling for several days last week.

Since Trump’s Aug. 1 tweets announcing the new tariffs, the U.S. benchmark S&P stock index has dropped more than 4%.

The tariff delay, combined with renewed talks with China, suggest Trump may be willing to compromise.

FILE PHOTO: Chinese staffers adjust U.S. and Chinese flags before the opening session of trade negotiations between U.S. and Chinese trade representatives at the Diaoyutai State Guesthouse in Beijing, Thursday, Feb. 14, 2019. Mark Schiefelbein/Pool via REUTERS

In a sign the administration may be expecting something in return, Trump tweeted on Tuesday: “As usual, China said they were going to be buying ‘big’ from our great American Farmers. So far they have not done what they said. Maybe this will be different!” Trump tweeted.

Trump’s tariff delay comes amid growing concerns about a global economic slowdown. Goldman Sachs said on Sunday fears of the U.S.-China trade war leading to a recession were increasing and Goldman no longer expects a trade deal between the two countries before the 2020 U.S. presidential election.

Trump has also personally criticized Chinese President Xi Jinping for failing to do more to stem sales of the synthetic opioid fentanyl amid an opioid overdosing crisis in the United States.

The USTR office plans to conduct an exclusion process that could allow more items to be removed from the 10% tariff list.

Reporting by David Shepardson, David Lawder, Makini Brice and Susan Heavey in Washington; additional reporting by Jeff Mason in Morristown, New Jersey; Writing by David Lawder; editing by Tim Ahmann, Marguerita Choy and Cynthia Osterman

Our Standards:The Thomson Reuters Trust Principles.Read More



Leave A Comment

More News

BBC News - Business

BBC World News business headlines 2019-08-06 13:02:25The latest international business headlines from BBC World News.

1,100 jobs at risk after Karen Millen online 2019-08-06 11:06:27Fashion firm Boohoo buys the online business of High Street brands Karen Millen and Coast for £18.2m.

Engineered in Africa: 'We knew the talent was 2019-08-06 08:28:09Christina Sass of software engineer recruitment firm Andela says that talent can be found anywhere.

Hyundai releases car with solar panel roof 2019-08-06 07:36:04The solar power system is available on the hybrid versions of the Korean car maker's Sonata vehicle.

Katharine Hamnett: Fashion tax is 'stupid' 2019-08-06 06:54:10Designer Katharine Hamnett says legislation is needed to force fashion brands to stop fast fashion.

Barneys New York store chain files for bankruptcy 2019-08-06 06:32:20The US luxury department store chain also puts itself up for sale after being hit by a steep rent rise.

McDonald's paper straws 'fully recyclable' makers say 2019-08-06 05:45:13The manufacturer of the straws says the UK's recycling infrastructure needs more investment.

Tencent set to buy 10% stake in Universal 2019-08-06 04:28:18UMG's parent company Vivendi is in talks with the Chinese tech group over the deal.

Yuan fall: Why is China's currency getting weaker? 2019-08-06 00:19:56A drop in the value of the yuan poses far-reaching consequences for markets and the US-China trade war.

US officially labels China a 'currency manipulator' 2019-08-06 00:02:17Washington accuses Beijing of devaluing the yuan, a statement likely to intensify trade tensions.

Capita seeks to reverse 'reputational damage' after death 2019-08-05 20:14:41Assessor Capita is seeking to overturn a ruling and £10,000 damages award after a claimant died.

Facebook urged to shut groups seeking fake Amazon 2019-08-05 19:08:34Which? claimed to have uncovered several active groups that recruited people to write fake testimonies.

Reuters: Business News

Markets doubt Fed's ability to defend economy, spur New! 2019-08-22 13:52:28The U.S. Federal Reserve wanted to do two things when it cut rates for the first time in a decade last month: Support the economy and spark inflation

U.S. transport chief names aviation safety advisory panel New! 2019-08-22 13:49:01U.S. Transportation Secretary Elaine Chao on Thursday named 22 people to a new panel that will advise the department on aviation safety oversight and

S&P 500, Nasdaq fall after gloomy data; Fed New! 2019-08-22 13:33:55The benchmark S&P 500 and the Nasdaq fell on Thursday after weak U.S. manufacturing data raised concerns about the health of the economy, with com

Thyssenkrupp in talks to buy steel trader Kloeckner: New! 2019-08-22 13:26:03German industrial group Thyssenkrupp is in talks to buy metals distributor Kloeckner & Co in a move to strengthen its steel business, Handelsbla

Oil eases as Fed's Jackson Hole meeting gets New! 2019-08-22 12:56:29Oil prices weakened on Thursday as worries about the global economy weighed and equity markets were under pressure as uncertainty over the outlook for

Two Fed officials see no case for rate New! 2019-08-22 12:54:29Two Federal Reserve officials on Thursday said they see no need for an interest rate cut widely expected next month by markets, highlighting policymak

Wells Fargo pays $6.5 million to Navajo Nation New! 2019-08-22 12:51:50Wells Fargo & Co will pay the Navajo Nation $6.5 million to settle a lawsuit over "predatory and unlawful practices" by the bank, the Native Am

Stocks retreat as investors eye Fed's Jackson Hole New! 2019-08-22 12:36:14An index of global stock markets slipped on Thursday as investors worried about uncertainty over the outlook for U.S. interest rate cuts even as weak

Trump talks up economy, talks down Fed amid New! 2019-08-22 12:29:23President Donald Trump said U.S. economic growth could be record-setting if the Federal Reserve would only lower interest rates further, as reports on

Exclusive: Boeing, grappling with uneven 737 supply chain, New! 2019-08-22 12:20:51Boeing Co has told suppliers it will resume production of its best-selling 737 jets at a rate of 52 aircraft per month in February 2020, then steppin

China blames Canada for difficulties in relationship, demands New! 2019-08-22 12:10:59China's embassy in Canada said on Thursday that bilateral ties were suffering "gross difficulties," and demanded Ottawa free Huawei Technologies Co

Pompeo tells Trudeau that U.S. officials are focusing New! 2019-08-22 12:10:59U.S. Secretary of State Mike Pompeo on Thursday assured Canadian Prime Minister Justin Trudeau that American officials were working to free two Canadi

Business News - UPI.com

U.S. Space Command to start Aug. 29, officials 2019-08-20 13:49:36 The U.S. Space Command will begin operations on Aug. 29, Vice President Mike Pence and Joint Chiefs of Staff Chairman Gen. Joseph Dunford said Tuesda

Report: China's military could overwhelm U.S. forces in 2019-08-20 13:25:49 China has the military strength to overwhelm the United States in the Indo-Pacific region, a report by an Australian research group said.

Bahrain joins U.S.-led coalition safeguarding Persian Gulf shipping 2019-08-20 12:42:06 The Kingdom of Bahrain will join the U.S.-led military coalition to protect Persian Gulf shipping lanes, U.S. Central Command announced.

Lockheed Martin wins two contracts for F-35 upgrades 2019-08-20 11:49:41 Lockheed Martin won contracts valued at $32.1 million and $12 million for modifications to F-35 Lightning II Joint Strike Fighter planes, the Pentag

U.S. military tests ground-based cruise missile 2019-08-19 13:45:19 A ground-launched cruise missile was successfully fired in a test Sunday, the Pentagon said. The test is the first since the U.S. pulled out of the I

Raytheon nets $47.9M contract for laser-guided Maverick missiles 2019-08-19 13:38:56 The Defense Department awarded a $47.9 million contract to Raytheon Missile Systems to purchase AGM-65E2/L laser-guided Maverick missiles.

Air Force certifies first field unit for 3D 2019-08-19 12:53:51 The U.S. Air Force on Monday announced it has certified the 60th Maintenance Squadron with an industrial-sized 3D printer and its first project, the

Raytheon wins $199.5M Navy contract for Close-In Weapon 2019-08-19 11:53:28 Raytheon Missile Systems received a $199.5 million contract to upgrade the Navy's MK 15 Close-In Weapon System, the Defense Department announced.

GAO report: Pentagon spent nearly $1B on improper 2019-08-16 15:02:14 The Department of Defense incorrectly distributed nearly a billion dollars in travel fees over a three- year period, a General Accounting Office repo

FLIR Surveillance awarded $12.6M for sensors aboard littoral 2019-08-16 13:42:22 FLIR Surveillance Inc. received a $12.6 million contract for supplies, repairs and upgrades to sensor systems aboard U.S. Navy littoral combat ships.

Lockheed nets $80M contract for Aegis system upgrades 2019-08-16 13:37:58 Lockheed Martin received an $80 million contract from the U.S. Navy for electronic equipment upgrades to the Aegis missile system, the Pentagon annou

38-year-old submarine USS Ohio returns to service after 2019-08-16 12:31:25 The USS Ohio, the Navy's oldest guided missile submarine, completed 27 months of refitting and is ready for duty, the Naval Sea Systems Command anno

Christian Science Monitor |

Why wealth and patience appear to go hand 2019-07-30 00:05:20Patience is often thought of in terms of social interactions. But the ability to bide one’s time also plays into national economics.

Trump has nothing to fear but fear itself. 2019-07-30 00:05:20Can a new budget deal, a rate cut, and no escalation in the China trade war keep recession at bay?

Why cattle and ecotourism combine on one Nebraska 2019-07-30 00:05:20Between tariffs and low grain prices, U.S. farmers are facing their toughest conditions in decades. Many are finding entrepreneurial ways to survive.&

Maine networks support young farmers, before they drop 2019-07-30 00:05:20Isolation and financial hardship take a toll on new farmers. In Maine, a program connects still-green farmers with mentors, know-how, and ea

Trade war slows Chinese economy to lowest rates 2019-07-30 00:05:20As economic growth falls to its lowest levels in more than a quarter-century, China is facing pressure to resolve an ongoing trade war with the U.S.&n

Around the world, investors value social, environmental impacts 2019-07-30 00:05:20Investors may value more than just financial profit. Markets for socially and environmentally mindful companies are opening across the world.

Farmers grow the food. But who’s helping new 2019-07-30 00:05:20Access to land is a major barrier to entering farming. One solution is land-link programs that pair landowners with those starting out.

Rural America faces housing shortage. How one town 2019-07-30 00:05:20Rent assistance is drying up for many rural housing projects. Construction costs keep rising. Yet many rural communities need to attract more workers.

Workers look for clear line in murky border 2019-07-30 00:05:20Ethical issues are rarely easy for companies to resolve. Wayfair, targeted for alleged complicity with a humanitarian crisis, is the latest

Why this company wants your old underwear 2019-07-30 00:05:20Will recycling textiles save the planet? Buying less and wearing your clothes longer might accomplish more.

Farmers caught between a flood and a trade-war 2019-07-30 00:05:20A $19.1 billion disaster aid package won't include much help for Midwestern farmers who can’t plant. Meanwhile a trade war puts farm

Why tariff threat is unsettling – even after 2019-07-30 00:05:20The threat of Mexican tariffs is off for now. But it could return – and the weaponization of tariffs may not be in the long-term interest of the

Home Page

Anil Agarwal's Twin Star Tech not to bid New! 2019-08-22 13:09:26"Twin Star Technologies will not bid for RCom assets. The company is likely to make a formal announcement in the regard shortly," the source said

Govt proposes ban on e-cigarettes, jail terms for New! 2019-08-22 12:51:35Health ministry's plan would deal a blow to U.S.-based Juul Labs Inc, which is hoping to launch its e-cigarette in India.

DLF stock falls as tussle with Sebi re-emerges; New! 2019-08-22 12:35:17Realty major DLF continues to face trouble on litigation involving alleged improper acquisition of land in Gurugram (Gurgaon).

Amid slowdown, carmakers' bet on new launches pays New! 2019-08-22 12:29:40Carmakers launched as many as 14 new models between April and July 2019

CBI court sends P Chidambaram to custody till New! 2019-08-22 12:13:33He was produced before the special CBI court around 3 pm on Thursday, where a courtroom packed with advocates, mediapersons, and law interns awaited h

MNS chief Raj Thackeray grilled by ED in New! 2019-08-22 12:05:33There was no word from ED officials on whether he will be called again for questioning

Amit Shah said resuming mining in Goa govt's New! 2019-08-22 11:39:30The Supreme Court in March 2018 scrapped licences given to mining companies in the state.

Fuel supply to Air India stopped at six New! 2019-08-22 11:17:46The airports where the fuel supply was stopped by the state-owned OMCs at around 4 pm are Cochin, Visakhapatnam, Mohali, Ranchi, Pune and Mohali

Zomato says restaurant prez offers the same discounts New! 2019-08-22 10:59:58Zomato, which initially claimed that the logout campaign was driven by vested interests, had on Wednesday made sweeping changes to its Gold programme

Auto companies cut more jobs, halt production as New! 2019-08-22 09:45:27Toyota, Hyundai halt production; auto part makers Denso, Bellsonica cut 350 jobs each.

HSBC lays off 150 employees from India back New! 2019-08-22 08:55:58The layoffs were are at the mid-management level at HSBC centres in Pune and Hyderabad.

Rupee crashes to over 8-month low of 71.81 New! 2019-08-22 08:55:39Also, the sudden drop in Chinese yuan led to increased volatility in emerging market currencies, including the rupee

Business

Tencent and other Chinese tech firms are reporting 2019-08-16 20:00:00But the trade war is making them more inward-looking

FedEx’s visionary founder is a disrupter at risk 2019-08-16 20:00:00FredEx is looking long in the tooth

India Inc is growing disenchanted with Narendra Modi 2019-08-16 20:00:00In his second term, India’s prime minister is showing his statist side

Saudi Aramco debuts in an earnings call 2019-08-16 20:00:00Facing an uncertain future, the oil giant is trying new moves

WeWork unveils its IPO prospectus 2019-08-14 20:00:00Investors will need a lot of nerve to back the loss-making office-rental company

Viacom and CBS agree to reunite 2019-08-14 20:00:00After years of bitter wrangling, Viacom and CBS merge to counter the media industry’s giants

Buy-out firms embrace Germany—and vice versa 2019-08-10 00:00:00Private-equity companies like the country’s stable politics, skilled workers and steady growth

Investors flee the Permian 2019-08-09 20:00:00Earnings of energy producers reliant on shale take a tumble

The elderly are the next big growth market 2019-08-09 20:00:00App-makers are trying to captivate granny

Uber lost over $5bn in the second quarter 2019-08-08 20:00:00The ride-sharing giant stumbles—again—on its long journey to making money

American steel tariffs cut both ways for domestic 2019-08-08 10:45:18President Donald Trump’s levies helped in the short run but could hurt in the longer term

The Exxon Valdez of cyberspace 2019-08-08 10:45:18If data are the new oil, data breaches should be treated like oil spills


Disclaimer and Notice:WorldProNews.com is not responsible of these news or any information published on this website.