Trade Tensions Rising Weeks Before U.S. Tariffs Increase

(BEIJING, CHINA) Fallout continues over the latest salvos in the U.S. – China Trade War. After China backed away from an original agreement, President Trump fired back with additional tariffs on the remainder of all Chinese imports into the United States. China, on the other hand, allowed its currency (the yuan) to fall against the U.S. dollar, in an apparent effort to blunt the effect of the trade war on their economy. So the U.S. labeled Beijing a currency manipulator, after the Chinese renminbi weakened to its lowest level since 2008, slipping below the level of 7 per dollar. Then China announced it would not purchase any more U.S. agricultural goods, an agreement that was made earlier this year but had not been fully realized by American farmers and ranchers. Trump accused the Chinese regime of failing to deliver on a pledge to buy more U.S. agricultural products. White House chief economic adviser Larry Kudlow said President Trump is flexible on tariffs depending on the progress of trade talks with China. Speaking on CNBC he said Trump was open to negotiations, which are next slated for September when a Chinese delegation will travel to Washington.