China increases tariffs 25% on select US imports: 3 things to know

In response to increased U.S. tariffs on Chinese imports, China raised tariffs up to 25 percent on 128 American imports, escalating a potential trade war between the nations, according to Reuters.

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Here are three things to know about the tariffs.

1. The tariffs will affect $3 billion worth of American products such as wine, fruit and nuts.

2. China’s Ministry of Commerce will suspend its obligations to the World Trade Organization in order to raise tariffs 15 percent on 120 products and 25 percent on an additional eight products.

3. “China’s suspension of its tariff concessions is a legitimate action adopted under WTO rules to safeguard China’s interests,” China’s finance ministry said, according to Reuters.

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