US President Donald Trump said substantial additional US tariffs would be placed on goods from China if there’s no progress on a trade deal after his planned meeting with Chinese counterpart Xi Jinping at the G-20 Summit in Japan.
“My Plan B with China is to take in billions and billions of dollars a month and we’ll do less and less business with them,” Trump said on Wednesday during an interview with Fox Business Network’s Maria Bartiromo.
Trump has previously said he may decide to raise tariffs on remaining $300 billion of Chinese imports if he doesn’t like what he hears from Xi at this weekend’s summit in Osaka. The two leaders are expected to meet on Saturday — something financial markets worldwide will be watching carefully. The president’s latest remarks added an element of doubt to Treasury Secretary Steven Mnuchin’s comment on Wednesday on CNBC that he’s “hopeful” about US-China trade negotiations.
An alternate course as the trade talks resume may be that US suspends the next round of tariffs on the additional $300 billion of Chinese imports, Bloomberg reported.