President Donald Trump has signaled that a trade war with China would not end soon as the United States is making money from tariffs and not ready for a deal till Beijing really wants it.
During a state visit to Japan on Monday, President Trump said China “would like to make a trade deal, but “we’re not ready to make a deal.”
“We’re taking in tens of millions of dollars of tariffs and that number could go up very, very substantially, very easily,” The Associated Press cited the president as saying.
However, Trump left open the chance that the two largest economies could reach an agreement someday.
“I don’t believe that China can continue to pay these really hundreds of billions of dollars in tariffs,” Trump said, expecting a “very good deal with China sometime into the future.”
The trade tensions escalated from July 2018 when the United States started to impose punitive tariffs on thousands of Chinese goods. The Trump administration accused Beijing of stealing its intellectual property, forcing foreign companies to hand over technology, demanding U.S. firms turn over trade secrets if they want to do business in China, and other unfair trade practices.
A total of $250 billion worth of Chinese imports have been levied at 25 percent and Trump is threatening to impose the same tariff rate on an additional $325 billion of Chinese goods.
According to Bloomberg News, his campaign promises have been delivered. At rallies in 2016, Trump pledged to use every lawful presidential power to remedy trade disputes if China does not stop its illegal activities, including its theft of American trade secrets.
In a tweet in early May, the president said trade talks with China are moving too slowly. He is expected to meet with Chinese counterpart, Xi Jinping, next month at a G-20 meeting in Japan to settle the disputes.