BEIJING (Reuters) - The United States and China introduced new tariffs for products to each other, as the two largest economies of the world have not shown any intention to deviate from a growing trade dispute, which is expected to grow into global economic growth.
Shortly after the new fees take effect, China accused the United States is that they are engaged in "commercial terrorism" and said that it scares other countries, forcing them to submit to their will through measures such as tariffs, the official Xinhua news agency.
But Beijing also said it was ready to resume trade talks with the United States if the negotiations will be "based on mutual respect and equality," wrote Xinhua, citing a technical paper on commercial disputes, issued by the State Council of China.
US tariffs on Chinese goods worth $ 200 billion and response rates for Beijing in the US goods worth $ 60 billion to take effect at noon in Asia, although the initial tariff level was not as high as previously feared. Earlier this year, the two countries have already set the tariffs for the sum of $ 50 billion of goods to each other.
Chinese goods in the US which have established new tariffs include a vacuum cleaner and an Internet connection to devices, while US rates include liquefied natural gas and certain types of aircraft.
Although senior White House official said last week that the United States will continue to engage China to "positive way forward", none of the parties has declared its readiness to compromise.
The US representative said on Friday that there was no scheduled date for the next round of negotiations. Wall Street Journal reported that China, which accused Washington of insincerity in trade negotiations, decided not to send this week, Vice Premier Liu Haye in Washington.
Economists warn that a prolonged dispute ultimately lead to slower growth, not only in the United States and China, but also in the wider global economy.
Trends in trade also affected the wider relations between Beijing and Washington.
China summoned the US ambassador in Beijing and postponed joint military talks in protest against the US decision to authorize the Chinese Defense Ministry and its directors because of the purchase of Russian fighter jets and missile and space systems "surface-to-air."
Trade talks in Washington last month, did not give meaningful progress.
Rob Carnell, chief economist of ING in Asia, said in a note to clients that, in the absence of any stimulus Beijing is likely to stop any further negotiations at this stage.
"The US has no clear purpose of a trade war."
The US administration will charge fees of 10% of Chinese products worth $ 200 billion by the end of 2018 rates will increase to 25%.
Beijing has set its new rates for goods worth $ 60 billion at the rate of 5% and 10% and warned that it would respond to any increase in US rates.
President Donald Trump on Saturday confirmed the threat to impose further tariffs on Chinese goods if Beijing retaliates, signaling that Washington could move to impose tariffs on almost all imported Chinese goods.
China imports much fewer goods from the United States.
Although Beijing has not disclosed what could be the reciprocal steps, businessmen and analysts say China may refuse the export of certain products in the United States or to create administrative red tape for US companies.
Some analysts say that there is also a risk that China may allow its currency to fall, to soften the blow to their exporters.
Based on materials WELTRADE