The largest US business lobby has warned President Donald Trump against the ramifications of imposing hefty tariffs on imports from China.
“Simply put, tariffs are damaging taxes on American consumers,” US Chamber of Commerce President Thomas Donohue said in a statement.
The statement pointed to reports that the administration is considering tariffs worth $30 billion a year, noting that imposing such a tax on Chinese imports would eliminate the majority of the benefits that American families are obtaining from the tax cuts put in place in December.
Donohue also warned that sanctions against China “could lead to a destructive trade war.”
The warning by the US Chamber of Commerce comes as the White House is considering whether to punish China for reportedly putting US companies under pressure to transfer know-how to Chinese firms. The US administration has launched an investigation into the matter since last August.