Chinese tech stocks are getting slammed after China accused the US as a trade bully and canceled trade negotiations
- China, on Monday, accused the US of being a trade bully and attacked the "protectionist" practices of the Trump administration, hours after a new round of tariffs against went into effect.
- China canceled trade talks with the US that were planned for the coming days.
- Chinese tech stocks dropped on the news.
- Watch Alibaba, iQiyi, JD.com, Baidu.com, Pinduoduo, Nio trade in real time here.
Chinese tech stocks are sliding after China accused the US of being a trade bully, and said it won't heading to the negotiating table if the Trump administration continues its threat of higher tariffs.
China published a white paper on Monday that attacked the "protectionist" and "trade bullyism" practices of the US administration, according to state-run Chinese news service Xinhua.
"It has brazenly preached unilateralism, protectionism and economic hegemony, making false accusations against many countries and regions, particularly China, intimidating other countries through economic measures such as imposing tariffs, and attempting to impose its own interests on China through extreme pressure," the white paper said.
The white paper came hours after US's new round of tariffs on $200 billion worth of Chinese imports went into effect on Monday. China has promised to respond with tariffs on $60 billion worth of US goods.
Over the weekend, China canceled trade talks with the US that were planned for the coming days, demonstrating its stance to avoid negotiating under threat, according to The Wall Street Journal, citing sources familiar with the matter.
As a result, Chinese tech stocks are under pressure. Here's the scoreboard:
- Nio (NIO): -4.8%
- Pinduoduo (PDD): -4.3%
- iQiyi (IQ): -4.1%
- JD.com (JD): -4.1%
- Alibaba (BABA): -1.5%
- Baidu.com (BIDU): -1.2%
Here's a timeline of the US-China trade war so far:
- March 1: President Donald Trump announces tariffs on all imports of steel and aluminum, including metals from China.
- March 22: Trump announces plans to impose a 25% tariff on $50 billion worth of Chinese goods. China announces tariffs in retaliation to the steel and aluminum duties and promises a response to the latest US announcement.
- April 3: The US trade representative announces a list of Chinese goods subject to the tariffs. There is a mandatory 60-day comment period for industries to ask for exemptions from the tariffs.
- April 4: China rolls out a list of more than 100 US goods worth roughly $50 billion that are subject to retaliatory tariffs.
- May 21: After a meeting, the two countries announce the outline of a trade deal to avoid the tariffs.
- May 29: The White House announces that the tariffs on $50 billion worth of Chinese goods will move forward, with the final list of goods released June 15. The move appears to wreck the nascent trade deal.
- June 15: Trump rolls out the final list of goods subject to new tariffs. Chinese imports worth $34 billion would be subject to the new 25% tariff as of July 6, with another $16 billion worth of imports subject to the tariff at a later date. China retaliates with an equivalent set of tariffs.
- June 18: Trump threatens a 10% tariff on another $200 billion worth of Chinese goods.
- July 6: The first tranche of tariffs on $34 billion worth of Chinese goods takes effect; China responds in kind.
- July 10: The US releases an initial list of an additional $200 billion worth of Chinese goods that could be subject to a 10% tariff.
- August 1: Washington more than doubles the value of its tariff threats against Beijing, announcing plans to increase the size of proposed duties on $200 billion worth of Chinese goods to 25% from 10%.
- August 3: China says it will impose tariffs of various rates on another $60 billion worth of US goods if Trump moves forward with his latest threat.
- August 7: The US announces that the second tranche of tariffs, which will hit $16 billion worth of Chinese goods, will go into effect on August 23.
- August 23: The US imposes tariffs on another $16 billion worth of Chinese goods, and Beijing responds with tariffs on $16 billion worth of US goods.
- September 7: Trump says the tranche of tariffs on $200 billion worth of Chinese goods is coming "soon" and threatens to impose tariffs on another $267 billion worth of Chinese goods.
- September 17: Trump announces 10% tariffs on $200 billion worth of Chinese goods, saying China has "been unwilling to change its practices."
- September 18: China says it has "no choice" but to retaliate to the fresh tariffs "to safeguard its legitimate rights and interests." It announces tariffs on $60 billion worth of US goods sent to China.
- September 24: Trump's new round of tariffs against China on $200 billion worth of imports went into effect.