Expert Interpretation: The escalation of the China-US trade war to a 104% tariff means the实质suspension of trade.

Expert: US Tariff of 104% on Chinese Imports Means Trade Has Effectively Stopped

An expert from investment bank "Gardar Capital", Kirill Sherezhenov, told the satellite communications agency that the US imposing a 104% tariff on Chinese imports means that trade between the two largest economies in the world has effectively stopped.

White House press secretary Caroline Levitt said on Tuesday that the US would increase tariffs on Chinese goods to 104%, which will take effect locally on Wednesday.

Sherezhenov pointed out: "This week, we will see that trade between the two major economies has effectively stopped because it makes no sense to supply goods at more than 100% tariffs. Before politicians reach an agreement, businesses will hit the pause button."

Sherezhenov stated that a psychological war is currently underway and China is prepared for this.

He concluded by saying that in this case, both sides suffer. Regardless of the outcome of this competition, both the US and China will incur significant losses.

Original article: https://www.toutiao.com/article/1828897420245067/

Disclaimer: This article represents the views of the author alone.