The U.S. will increase tariffs on China next year if the two can’t resolve a trade dispute. U.S. Trade Representative Robert Lighthizer says the ten percent tariffs on $200 billion of Chinese goods will increase to 26 percent, if there is no resolution by the March deadline.
It is somewhat unclear what China is expected to do to avoid the higher tariffs, and that the heart of the U.S. complaints against Beijing’s trade practices focus on deeper issues like Chinese technology transfers and intellectual property policies. China has begun purchasing U.S. soybeans within the last week, a promised action stemming from the G20 Summit meeting. China also announced it would lower tariffs on U.S. auto imports.
Lighthizer says the Trump administration is looking for structural changes to increase market access for American companies, protect intellectual property and end forced technology transfers.