China's response to Trump's tweet

Pretty much anybody who's paying attention could have guessed what China would do next.

China's Ministry of Finance said it will impose additional tariffs ranging from 5 percent to 25 percent on [...] $60 billion in goods, on top of duties that are already in place. The announcement marks the latest development in a growing tit-for-tat conflict between the two economic giants and came just after President Donald Trump had warned China against retaliating.

[...]

The two sides have been hurtling toward an increase in tensions since Beijing earlier this month "reneged" on a number of commitments it had previously agreed to in negotiations, according to U.S. officials. A delegation of Chinese negotiators traveled to Washington late last week to try to break the impasse, but talks ended early Friday without any resolution.

[...]

Tariffs already taking effect on billions in Chinese goods are rattling the markets and forcing companies to start paying more for their imports. The Dow Jones Industrial Average had dropped nearly 400 points by the time markets opened on Monday morning, only to tumble another 200-plus points in the first hour of trading.

[...]

Goldman Sachs wrote in a new research note over the weekend that the cost of penalties imposed so far under the Trump administration has fallen "entirely" on U.S. businesses and households.

[...]

In his flurry of tweets Monday morning, Trump went on to say that U.S. companies worried about the tariffs could simply avoid them by purchasing their goods from countries not subject to the steep tariffs levied by his administration or by shifting their production to the U.S.

[...]

But companies that do import parts from China often do so for a variety of reasons, including that the goods might not be available elsewhere or would be far more expensive. Rerouting supply chains to avoid purchasing from China is also a costly and time-consuming endeavor that could also prompt some companies to raise prices to offset the costs.

[...]

Beijing had previously pledged to take "necessary countermeasures" but had not made a move to do so until Monday's announcement.

  Politico

Trade wars are good, and easy to win.

Trump has sought to project optimism in the face of this latest salvo with China, touting on Monday the “unexpectedly good first quarter 3.2% GDP” that he attributed to the China tariffs.

“Some people just don’t get it!” he added.

Well, we know one, at least.

...but hey, do what you want...you will anyway.

UPDATE 10:20: