President Donald Trump is preparing to slap tariffs on Chinese goods early Friday, the first shot in a trade war between the world’s two biggest economies. Tariffs on $34 billion of Chinese goods are scheduled to take effect at 12:01 a.m. in Washington. Beijing has said retaliatory tariffs on U.S. goods ranging from soybeans to pork will go into effect immediately after the U.S. acts.
On June 15, Trump said the U.S. would begin charging additional duties of 25 percent on $50 billion worth of Chinese imports in response to what he says is theft of American intellectual property. That’s split into two rounds — $34 billion on Friday and $16 billion later. China has said it will fight back with “equal scale, equal intensity.”
Some American business are bracing for impact. U.S. manufacturers and business groups have said the tariffs could increase their costs and lead to higher prices for consumers. Still, data released Thursday show world growth isn’t showing any signs of being dented. The JPMorgan-Markit global composite PMI rose to a four-month high of 54.2 in June.
For more: Bloomberg