World Economy

Leading Experts Criticize Trump’s Trade War

Leading Experts Criticize Trump’s Trade WarLeading Experts Criticize Trump’s Trade War

Business leaders and scholars from the world’s leading economies have criticized the trade war initiated by Washington that will have profoundly negative consequences.

The US additional tariffs of 25% on $34 billion worth of Chinese imports took effect Friday, Xinhua reported.

“With tariffs against China taking effect, American consumers are one step closer to feeling the full effects of a trade war,” Matthew Shay, president and CEO of the National Retail Federation of America, said Thursday in a statement carried by the association, the world’s largest in retail trade.

“These tariffs will do nothing to protect US jobs, but they will undermine the benefits of tax reform and drive up prices for a wide range of products as diverse as tool sets, batteries, remote controls, flash drives and thermostats,” Shay said.

China’s retaliatory tariffs of equal scale went into force immediately after Washington fired the first shot.

Donald Trump has also said he is prepared to levy duties on additional Chinese goods worth $200 billion if China retaliates, a threat condemned by Shay, who urged Trump to pull the brake on the escalating hostilities.

“We strongly urge the administration to abandon its plans for tariffs on another $200 billion in Chinese imports, which would destroy thousands of American jobs and raise prices on virtually everything sold in our stores,” Shay said.

Martin Wansleben, general manager of the Association of German Chambers of Industry and Commerce, said in an interview with broadcaster Suedwestrundfunk that the trade dispute is “structurally catastrophic”, and finally “a system of rules is practically destroyed”.

Tomoo Marukawa, professor at the Institute of Social Science of the University of Tokyo, said the United States’ goal of reducing trade deficits by tariff measures, especially by imposing tariffs on Chinese goods, will by and large fail.

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