US: Trade tensions escalating with China - TDS

According to analysts at TD Securities, US trade tensions have risen as the Trump Administration has threatened additional tariffs, following reports that China backtracked last week on key commitments in a draft agreement.

Key Quotes

“The Chinese trade delegation, led by Vice Premier Liu He, is expected to arrive in the US on Thursday with hopes for a last-minute trade agreement dwindling rapidly.”

“At this point, we think an increase of tariffs to 25% from 10% on USD 200bn worth of Chinese goods early Friday (at 12:01am EDT) is likely. China responded on Wednesday that it "will have to take necessary countermeasures" should the US increase tariffs.”