‘Whether the tariff is 70 per cent or even 1,000 per cent makes little difference’ when the result is that it blocks trade with US, says Eurasia Group China director.
China is rapidly approaching a point where it will have “nothing to lose” in an ever-intensifying trade war with the US, economists said after US President Donald Trump threatened to slap a further 50 per cent in levies on Chinese imports.
And despite Trump’s hard line, some economists said that China is sure to retaliate, as the marginal economic impact of his fresh threats on China is declining as the effective tariff level quickly builds up.
