Ford corrects Trump over US-made Focus Active claim

Donald Trump is warning of more tariffs on Chinese goods. AFP

Donald Trump is warning of more tariffs on Chinese goods. AFP

The statement came after Trump tweeted about an article from August 31, when Ford announced that it was canceling plans to make the Focus Active, a compact crossover, in China and ship them to the United States.

The company also reaffirmed that it has no plans to start making the vehicle on U.S. soil. He wrote: "Start building new plants now".

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

Trump has criticised China's record trade surplus with the United States, and has demanded that Beijing cut it immediately.

Exports to the United States in August rose 13.4 per cent to $44.4 billion, ticking up from July's 13.3 per cent growth. The public had until Thursday to comment on the administration's plan.

WASHINGTON-Despite the uncertainty surrounding the trade war with China, U.S. equity markets had a relatively strong opening on September 10. Apple said the tariffs would raise the cost of its US operations and put it at a disadvantage to foreign rivals.

Apple outlined how the company's operations and products will be affected by the tariffs. The currency fell 1.3 percent on Friday and was last at $0.7107.

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The decision to proceed with tariffs on US$200 billion of Chinese imports dismayed US business figures, industry associations and trade experts, thousands of whom recently provided testimony to the US Trade Representative's Office, warning the government of the damage they would cause for small- and medium-sized businesses and their consumers.

Trump admitted on Twitter that the price of Apple products will increase because of his tariffs on China.

While Apple has doubled down on its software and services businesses in order to decrease reliance on hardware sales and hedge against a decelerating smartphone market, wherein replacement cycles have elongated and competition has increased from lower-cost rivals, iPhones still account for roughly 60% of Apple's top line. He also said the European Union's offer to drop auto tariffs is inadequate amid talks with that region. Computer and phone makers are involved in a global supply chain that includes Chinese manufacturing, and that can't be easily excluded without harm to USA companies, Intel said in a letter to the trade representative.

China's imports rose 20.9 percent year-on-year to $1.41 trillion in the first eight months of the year, demonstrating the country's commitment to a multilateral trading system, experts said on Sunday.

These are worrying times for technology companies that rely on complex, global supply chains to build and assemble their products.

"If the United States insists on imposing another round of tariffs on Chinese products, China will definitely take countermeasures to safeguard its legitimate rights and interests", foreign ministry spokesman Geng Shuang said.

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