Senior Chinese officials have warned the US that Beijing is ready to retaliate if Donald Trump’s incoming administration imposes new tariffs, highlighting the risk of a destructive trade war between the world’s two largest economies.
Penny Pritzker, the outgoing US commerce secretary, said in an interview with the Financial Times that Chinese officials had informed their US counterparts in a meeting after November’s election that they would be forced to respond to trade measures taken by the new administration.
“The Chinese leadership said to me ‘If you guys put an import duty on us we are going to do it on you’,” Ms Pritzker said. “And then they said ‘That will be bad for both of us’.”
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