Washington
US President Donald Trump has further extended the ban on the tariff imposed on China for 90 days. Earlier on August 12, this ban on tariff was about to end, but now Trump has decided to increase it. Trump has also signed an order for this. With this, the ban on tariffs imposed on China will now be implemented till 10 November.
Why US President softened towards ‘Dragon’
At one time, the Trump which did not back down from deciding to increase the tariff against China to 245%, now how have they become soft against ‘Dragon’? Let’s look at the possible reasons behind this.
China’s like Tit Andaz
Whenever Trump threatened China to tariff, China also adopted a tit. China also threatened 125% tariff on the US on Trump’s tariff threat. Trump would not have expected this style of China.
Promotion of conversation
Trump’s decision is also said to be inspired to promote business talks between the two countries. Trump wants a trade deal between the US and China, which also benefits the US.
Economic impact
In the US, heavy tariffs on Chinese goods during Christmas and holiday season may increase prices, which can affect consumers and small businesses. This can be politically harmful to the trump administration.
Strategic step
Some experts believe that this decision is the result of China’s pressure and America’s economic compulsions. China’s goods are cheap and popular in the US market.
