China-US Trade Tensions: Hearings on newly proposed tariffs on Chinese goods underway in Washington
Updated 13:01, 24-Aug-2018
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Public hearings are now underway in the US capital, on another round of potential tariffs on Chinese imports. This time, the list involves a whopping 200 billion dollars worth of goods. The Trump administration has proposed a 10 to 25% tax on these goods. And they could take effect as early as next month. Some U.S. executives say the proposed move could hit U.S. consumers much harder than previous rounds. CGTN's Nathan King reports.
Outside this week's hearings in Washington DC, Karen Giberson shows off her bag, Karen's from the U.S. Accessories Council and doesn't get why U.S. consumers should suffer because of differences between Beijing and Washington over technology and intellectual property, or IP.
KAREN GIBERSON PRESIDENT, ACCESSORIES COUNCIL "Bags, small leathers, hats, hair accessories, we're not sharing IP. These products have been made the same way for years and years and years. And China just happens to do it in a cost-effective way and deliver great quality."
There are of hundreds of witnesses who will testify this week. Most U.S. companies oppose tariffs and the trade war, emphasizing that China and the U.S. have deep economic ties that benefit Chinese manufacturers, U.S. importers and U.S. consumers.
STEPHEN LAMAR, EXECUTIVE VICE PRESIDENT AMERICAN APPAREL AND FOOTWEAR ASSOCIATION "You've got factories that have the quality, the compliance, the capability producing the goods, the right price, the right time and the right quality. That's not going to change overnight, that's not gonna change in the foreseeable future."
Some suspect the Trump administration of wanting to disrupt those supply chains and bring jobs back to U.S. or motivate U.S. firms to move out of China. Whatever the long-term plan, the short-term pain here in the U.S. is becoming more obvious.
NATHAN KING WASHINGTON "After the U.S. backed out of a potential deal with Beijing in May, talks have been stalled. But, this week a Chinese delegation arrives for two days of negotiations. The talks are at a lower level than before, but pressure from U.S. companies might make a difference. The tariff clock is once again ticking. Nathan King, CGTN, Washington."