U.S. President Donald Trump is seeking to impose tariffs on up to $60 billion of Chinese imports.
Furthermore, the tariffs are intended to target the technology and telecommunications sectors.
The tariffs could come “in the very near future.” The tariffs are associated with a “Section 301” intellectual property investigation which was begun last year under the 1974 U.S. Trade Act.
The U.S. intends to target information technology, consumer electronics and telecoms. However, the tariffs could be much broader than just these categories. The list could eventually run to 100 products.
In Beijing, Chinese foreign ministry spokesman Lu Kang said Sino-U.S. responded. “Trade relations should not be a zero-sum game. If the United States takes actions that harm China’s interests, China will have to take measures to firmly protect our legitimate rights.”
Trump is targeting Chinese high technology companies to punish China for its investment policies. China forces U.S. companies to give up their technology secrets in exchange for being allowed to operate in that country.
Meanwhile, the Trump administration is also considering imposing investment restrictions on Chinese companies. These would be over and above the heightened national security restrictions. However, the administration has not yet revealed details on these.
The news follows on the heels of President Trump’s executive order prohibiting the Broadcom takeover of Qualcomm.
The U.S. leads the world in #patent applications. However, the two largest single corporate grant holders are Chinese. And they’re both telecom companies.