China on Wednesday vowed to retaliate if the Trump administration goes through with a proposal to impose a 25 percent tariff on $200 billion worth of Chinese goods, Reuters reports. President Trump has not made a final decision on the plan, which is more than double the 10 percent tariff Trump in June instructed U.S. Trade Representative Robert E. Lighthizer to draw up on the goods, about 40 percent of what China exports to the U.S. every year. Beijing called the proposal "blackmail," and said it wouldn't work.
Trump is using tariffs to pressure China into making trade concessions to open its markets more to U.S. companies. A source told Reuters the Trump administration could announce the tougher plan as early as Wednesday. Harold Maass