Trump triggers global economic chaos with two tweets about China

Narjas Zatat@Narjas_Zatat
Monday 06 May 2019 09:15
news
Picture:(Chip Somodevilla and Nicolas Asfouri/AFP and Getty)

Stock markets in Asia and Europe dropped after Donald Trump sent two tweets out threatening to put new tariffs on China.

The US president put a new trade deal with China in doubt after he took to Twitter and wrote:

For 10 months, China has been paying Tariffs to the USA of 25% on 50 Billion Dollars of High Tech, and 10% on 200 Billion Dollars of other goods. These payments are partially responsible for our great economic results. The 10% will go up to 25% on Friday. 325 Billions Dollars....

....of additional goods sent to us by China remain untaxed, but will be shortly, at a rate of 25%. The Tariffs paid to the USA have had little impact on product cost, mostly borne by China. The Trade Deal with China continues, but too slowly, as they attempt to renegotiate. No!

As a result, US stick-index futures dropped 1.6 per cent, Euro Stoxx 50 futures plummeted 1.3 per cent and the Shanghai Composite Index fell 6.4 per cent, the most since February 2016, according to Bloomberg.

Hong Kong’s Hang Seng index closed 2.9 per cent lower as well, BBC reported.

His comments come after a Chinese delegation is set to travel to Washington to negotiate an end to the two country’s’ trade war.

"We are currently working on understanding the situation," foreign ministry spokesman Geng Shuang said during a regular news briefing, according to news agency AFP.

People weren't convinced by the accuracy of Trump's tweets

And thought they were ill-timed.

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