More Trump tariffs to be levied on goods from China — starting Sept. 1

In a tweet Thursday that rattled stocks, the Trump administration announced that, starting Sept. 1, 10% in tariffs will be levied against $300 billion in more goods that are made in China for companies that import them into the United States.

The companies pay the tariffs, and the extra expense typically leads to higher prices for U.S. consumers.

The Dow had been up about 300 points, but on the news, it fell 200 points.

CNBC reports: “The surprise tariff announcement came after the U.S. and China restarted trade talks in Shanghai this week, the first in-person trade talks since a G-20 truce (in June). The White House said on Wednesday before this Trump tweet the meetings were ‘constructive,’  adding that China confirmed their commitment to increase purchases of U.S. agricultural exports. Trade negotiations will continue in Washington in early September, according to the White House statement.”

The Associated Press had gave some background on the trade war, and it had details on what consumer goods would be affected.

“The president has already imposed 25% tariffs on $250 billion in Chinese products, and Beijing has retaliated by taxing $110 billion in U.S. goods,” the AP reported. “U.S. consumers are likely to feel the pain if Trump proceeds with the new tariffs. Trump’s earlier tariffs had been designed to minimize the impact on ordinary Americans by focusing on industrial goods. The new tariffs will hit a vast range of consumer products from cellphones to silk scarves.”