Trump Introduces new charges against China, Wall Street turns Red. The trade war between the United States and China is escalating.
President Trump has announced new taxes of 10 percent on Chinese products with a value of 300 billion dollars.
Trump does this because, according to him, China does not adhere to earlier agreements.
The extra levy starts on September 1, tweets the American president.
It concerns products that, according to him, were not previously taxed extra.
According to Trump, this is a ‘small extra’ tax.
According to him, the conversations meant to take the cold out of the air continue unabated.
“Friend” President Xi
Trump denounces that China decided at an earlier stage to reopen negotiations on an agreement reached.
The promise to buy more American agricultural products has also failed, he says.
Finally, Chinese President Xi Jinping, who referred to Trump in the tweets as “my friend,”
had promised to stop exporting the painkiller fentanyl to the US.
According to Trump, none of that has proven to be true.
Prices are falling
Investors are shocked by the escalation.
The most important stock market indicators on Wall Street,
the Dow Jones index and the S&P 500 went into the red almost immediately after the tweets.
The oil price also plummeted.
American oil became more than 7 percent cheaper, and Brent oil lost more than 6 percent in value.