The United States and China have started what Beijing described as the “biggest trade war in economic history,” imposing tariffs on billions of dollars of each other's goods in a potentially brutal fight over technology that could soon intensify.
The Trump administration forced 25 percent duties on $34 billion of imports from China, the first in a series of potential increments. On the Chinese side, the Communist Party newspaper People's Daily said tariffs were imposed on a list of American goods.
Here are the things you should know about the US trade war with China.
1. It’ll cost you more to shop
The tariffs will raise the price of imports, making consumer goods prices higher. Ultimately, higher rates will hurt the consumers who buy stuff, Time reported. Trump’s targeted products focus mainly on industrial machinery — aircraft parts, steam turbines –that everyday Americans don’t usually buy, but companies that use those materials will pass the added costs on to customers. “Campbell’s Soup, for instance, said that new tariffs on steel would lead the company to raise prices,” according to Time.