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U.S.-China Trade Talks End Without Deal, Increased Sanctions

HeadlineMay 13, 2019

Trade talks between the United States and China ended Friday without a deal as President Trump followed through on his threat and imposed a 25% tariff on over $200 billion of Chinese goods and accused China of trying to renegotiate a deal. A U.S. trade representative said Friday that Trump also planned to raise tariffs on the $300 billion worth of remaining Chinese imports. Both parties said talks will eventually resume, and White House economic adviser Larry Kudlow indicated Trump could meet with President Xi Jinping at the G20 meetings in Japan next month.

Meanwhile, in an interview with Fox News’s Chris Wallace Sunday, Larry Kudlow admitted U.S. companies and consumers will effectively end up paying for the increased tariffs, contradicting a statement by Trump last week that China would “mostly pay” for them.

Chris Wallace: “The president says China doesn’t—that China, it pays the tariffs. They may suffer consequences, but it’s U.S. businesses and U.S. consumers who pay. Correct?”

Larry Kudlow: “Yes, to some extent. Yeah, I don’t disagree with that.”

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