US and China set for trade war
The Obama Administration has been forced to take the tough step against the Chinese imports, by levying a massive 35% import tariff on all tire imports into the country. The tire imports from China have tripled in the last four years, and has forced over 5000 US citizens out of their jobs.
The Obama administration took the extreme step yesterday and has said that the tariffs will remain for three years to resurrect the ailing US tire industry. The Chinese government is set for a retaliation against the move by imposing tariffs on some other group of imports from US, in the coming days.
Thus the world can expect a spate of protectionist measures from US and China in the coming days, which can postpone the global economic recovery.
