On Tuesday, the White House said it would have a final list of $50 billion in imports that would be subject to 25 percent tariffs by June 15, and two weeks later would announce investment restrictions on Chinese acquisitions of United States technology.
US Treasure Secretary Steven Mnuchin had said any trade war would be put on ice while negotiators thrashed out details and as part of the deal, China would reduce its trade advantage by buying more US goods such as agricultural and energy commodities.
The tariffs will target goods "containing industrially significant technology" related to the "Made in China 2025" program, the statement said. The White House said it also would impose restrictions on Chinese investment and purchases of high-tech exports.
U.S. President Donald Trump's earlier threats of tariff hikes resulted in very intense negotiations with Beijing "in a way that we haven't seen for so many years", said William Zarit, chairman of the American Chamber of Commerce in China. The White House accused China of placing outrageous levies and requirements on stuff exported from the States to the Middle Kingdom, for allowing Chinese organizations to rip off American technology or steal blueprints through corporate espionage, and basically for making life hard for U.S. enterprises.
Ahead of US Secretary of Commerce Wilbur Ross's arrival in China on Saturday for talks, Zarit said companies hope Beijing can be persuaded to "level the playing field" by easing curbs on foreign investment and business activity in its state-dominated economy.
Some of the irresolution comes from lasting divisions within Trump's team, which have complicated trade talks from the start.
The statement further read, "The United States will continue efforts to protect domestic technology and intellectual property, stop noneconomic transfers of industrially significant technology and intellectual property to China, and enhance access to the Chinese market".
Navarro added the U.S.is prepared for retaliation from China.
Trump's surprise announcement reflects his frustration at criticism of his earlier deal with Beijing, Eurasia analysts said in a report. Proposed investment restrictions will be announced by June 30 and also take effect at a later date.
The announced measures also come amid bipartisan criticism of the president's softening of penalties for ZTE, a Chinese telecom company that had traded with Iran and North Korea in defiance of US sanctions.
Trump announced in April he planned to impose tariffs on $150 billion worth of Chinese goods, and Beijing responded by declaring it will retaliate by imposing similar amount of tariffs of imported American goods.
A USA official, who spoke on condition of anonymity, said that under directions sent to United States embassies and consulates, Chinese graduate students would be limited to one-year visas if they are studying in certain fields, such as robotics, aviation and high-tech manufacturing, AP reported. Shortly before that, the Chinese government had granted a $500 million loan to an Indonesian theme park development project that will include several Trump-branded properties.