President Trump’s rapid trade war has resulted in a tariff for eyes on mutual products between countries and whipped horizons for many international trade -dependent companies. There is no end on the horizon.
The Trump administration was waiting for the Chinese leader, Xi Jinping, to contact Mr. Trump personally, but Beijing seems careful not to put Mr. Shi in an unexpected and possibly embarrassing position with the American president.
With the two governments in a dilemma, companies that rely on products from China – which differ from devices stores to game makers – were thrown into disturbances. Three -numbers tariff rates forced a lot to completely stop charges.
Mr. Trump quickly increased customs duties on Chinese products, from 54 percent on April 2 to April 2 145 percent after only one week. The Chinese government argued that the procedures are unfair and closely identical to its movements, Raising definitions on American goods to 125 percent Friday.
But on Friday night, I created the administration Big carve To its tariff on China when some electronics, including smartphones, laptops and TVs, exempt. These products will remain subject to the other definitions that Mr. Trump set, such as 20 percent fees that add it to Chinese goods in response to the country’s role in the fentanel trade.
Mr. Trump said he wanted to speak with Mr. Shi, but he stopped requesting a phone call, believing that the role of the Chinese government is to request such an invitation, according to the people familiar with the matter. Trump officials say dozens of countries have them Contact the administration on negotiations Since the imposition of fees. China did not, and instead it responded with harsh words and its own tariffs.
Through the Trump administration, some officials are concerned that the trade war can soon rise to the national security crisis, which may increase the Chinese plans to invade Taiwan.
The Pentagon evaluates the effect of China, which is likely to cut rare land exports to the United States and may prevent some critical ingredients used in American arms systems, according to a person who knows the preparations. The goal is to completely verify the damage that the Chinese can inflict on America’s ability to produce and maintain some weapons and ammunition.
Mr. Trump continues to express optimism, saying that he is always with Mr. Xi and that a “positive thing” will come out of the relationship. But analysts suggested that the situation may have already gone out of control.
Julian Evans British, Chinese Economics President of the Capital Economics Research Company, said that the Chinese authorities have repeatedly coincided with the American tariff rises that were not in a hurry to negotiate.
He said: “It still seems likely that the partial decline of definitions is likely to be at some point.” “But it is difficult to imagine a meaningful reset in the relationship of the United States of China.”
On Friday, Caroline Levit, the White House press secretary, refused to determine whether the two countries were in contact.
She said: “I will not comment on the communications that occur, or may not happen, or in both cases, we will leave the matter to our national security team to hold these discussions.” She said the president was optimistic, and that he was very clear that he was open to a deal with China. “
Speaking last week at the White House, Mr. Trump said, “China wants a deal. They do not know how this happens.” He added that the Chinese were “proud people.”
Mr. Trump’s movements have taken the customs tariff to the level of the past, which is highly trade, and created crises for many American companies that depend on imports from China.
Rick Woldenberg, who runs learning resources, an Illinois -based educational playmaker, said the latest definitions have already forced him to stop some shipments from China. He called on the rates imposed by Mr. Trump “a joke” and said that even concessions from his suppliers could not obtain the fees he owes to the American government.
Learning resources with factories in Taiwan, India, Vietnam and other countries to make their products, but China is largely its largest resource, as it is for most game makers. China acquired two -thirds of all imports of games and sports commodities to the United States last year.
Learning resources employ about 500 people, most of them in the United States. She planned to use more this year to keep pace with her rapidly growing business, but she is now abandoning some of these plans.
“We are suffocating by our private government,” said Mr. Windenberg.
Mr. Woldenberg said that he paid about $ 2.3 million of customs duties and duties in 2024. This year, he will end up paying more than $ 100 million if sales continue in one way or another with his expectations by the trade war. This is more than it can pay if all expenses are cut in the company other than the basic salary statements.
At this stage, Mr. Woldenberg said, the number is important – to a certain level, the tariff is no longer something that anyone in his work can pay.
“He can raise it to 100 billion % – it does not matter,” he said. “It is like a legal ban.”
Christophe Lavin, President of Hevild, who manufactures boats in China and the United States, said he expected to undergo 198 percent of his imports on some of his imports, and that he simply decided to stop his shipments at the present time.
He said that his entire company, and the jobs and merchants of his employees were at stake. He added that the pace of change was very fast and unpredictable.
“We cannot adjust our production lines quickly enough,” he said. “Transforming the entire supply chain in just two months is not possible.”
The major multinationals were in a better position of the source of products from countries alongside China, but they were also reeling. Hobby Lobby, the retail seller, told the sellers on Thursday that they delay shipments from China as a result of the escalating trade war, according to the correspondence seen by the New York Times.
The retailer told the sellers that the backward customs tariff resulted in “a quick and unpredictable scene” and that he hopes that diplomacy between the United States and China “resulted in a more stable and balanced result.”
The effects of disrupting business with one of the largest commercial partners in the country have fallen through the economy. The dollar fell to the lowest level of three years on Friday, while the treasury revenues continued to swing. A scale of consumer’s morale also fell, indicating that Americans felt nervous from how high definitions affected them.
Mr. Trump Suddenly, it was announced on Wednesday that he stopped for 90 days On the “mutual” definitions that were unveiled in the previous week of countries around the world, which entered into force a few hours ago. But the threat of these definitions and revenge against American exports still hangs the global economy.
It remains to see whether the United States and China may try to reach some agreement soon. People familiar with the talks said that the White House National Security Council members were in contact with their counterparts at the Chinese embassy, and that Cui Tiankai, the former Chinese ambassador, held meetings in Washington and New York in the past few weeks to discuss the relationship. But there were few signs of communication between high officials in the Trump administration and the Chinese government.
Early from Mr. Trump’s first mandate, Mr. Shi He flew to his property, Mar Lago in Florida To meet Mr. Trump for hours, sharing what Mr. Trump later referred to as “the most beautiful piece of chocolate cake that I have seen at all.” But this did not prevent countries from entering into a commercial war. In his second term, Mr. Trump was more encouraging and unpredictable.
Mr. Trump has given little indicators publicly about what the Chinese wanted to do. But Trump officials say the issues are well known. in An annual report issued on March 31, The United States Commercial Representative Office detailed the commercial barriers facing American companies when selling abroad, and perpetuated nearly 50 of nearly 400 pages to China.
In recent weeks, in addition to facing Mr. Trump’s introductory threats, China has added some American companies to an unreliable entity list that mainly prevents them from doing business in the country. Licensing systems also imposed to restrict rare ground elements exports, which are necessary for electric cars and other products.
On Friday, when the latest increase in definitions of American products announced, the Chinese government said it would not raise the rate more because it was already to the point that the number no longer made any difference.
The Chinese Ministry of Commerce said that the United States used the customs tariff “bullying and coercion” and eventually became “laughing”.
“If the United States continues to fight the tariff numbers, China will ignore it,” she said.
China has also raised pressure on American companies, as it issued new regulations on Friday that will be subject to the semi -conductors that American companies abroad have been a tariff.
This step will pressure companies such as Intel, Global Houseries and others that have chip factories for us. Chips companies may also encourage manufacturing outside the United States to maintain access to the Chinese market, as the largest part of global electronics is made.
Shawn Maksharfor Maggie Habermanfor Karen Weissfor Tony Rom and Jonathan Swan The reports contributed.
