President Trump’s repeated threats to start a trade war with China appear headed for reality as the administration prepares to impose tariffs on $34 billion of Chinese products on Friday morning, setting up a potentially devastating clash between the world’s two largest economies.
The penalties, which go into effect at 12:01 a.m. on Friday, are expected to prompt immediate retaliatory tariffs by Beijing, which has said it will tax an equal amount of American exports, including pork, soybeans, steel and peanuts. The dispute is expected to ripple through global supply chains, raise costs for businesses and consumers and roil global stock markets, which have been volatile in anticipation of a prolonged trade fight between the United States and almost everyone else.