China promises to retaliate if United States imposes more tariffs

Mae Love
September 11, 2018

A trade war hurts Ford, Gabrielsen said.

Ford also wouldn't want to spend millions on equipment to build the Focus Active here because at low sales volumes it wouldn't get a good return on its investment, Dziczek said. The tweet came in response to a September 5 letter Apple sent to the Office of the United States Trade Representative (USTR) warning of the potentially harmful effects of additional Chinese tariffs.

Apple might increase US production in the next 5 - 10 years, but it will still remain a small part of its manufacturing footprint.

He went on to speculate that, "beyond 2 years, these tariffs will go away".

"Basically, this boils down to how we deploy our resources".

Apple declined to comment on the president's tweet. "Our resources could be better deployed at this stage". This vehicle can now be BUILT IN THE U.S.A. and Ford will pay no tariffs!

China's trade surplus with the United States widened to a record in August even as the country's export growth slowed slightly, an outcome that could push President Donald Trump to turn up the heat on Beijing in their cantankerous trade dispute. Ford abruptly issued a statement saying essentially, yeah, not so much.

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For now, Ford simply won't sell the vehicle in the U.S.

Trump took to Twitter Sunday to declare victory and write: "This is just the beginning".

With the cancelation of the Focus Active, a Ford spokesman confirms, the Mustang will eventually be the only Ford vehicle model sold in the U.S. But it is running out of room to match them dollar-for-dollar, raising concern it would resort to other measures, such as weakening the yuan or taking action against USA companies in China.

"The margins are very slim", Dziczek said.

There was a "logical gap" in Trump's statement that the auto not being imported to the U.S. somehow meant it could be built in the United States cost-effectively, said Reade, who now advises clients on USA and Chinese governmental issues at the Washington-based law firm Arnold & Porter.

Sedans and other small cars are falling out of favor with Americans. Apple said the tariffs would raise the cost of its US operations and put it at a disadvantage to foreign rivals. Such a step would significantly escalate his trade war with Beijing and would likely increase costs for a broad range of USA businesses and consumers.

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