U.S. President Donald Trump and Chinese President Xi Jinping are set to meet at the G-20 summit in Japan next month. The leaders of the world’s two largest economies will likely aim to resolve their long-contentious trade dispute, but if they fail to reach an agreement, there’s a good chance Trump will follow through on his threat to place additional 25 percent tariffs on $300 billion worth of Chinese goods. According to a recent Citi report, additional tariffs on virtually all Chinese imports would be far worse than what consumers have seen so far, because the first round of tariffs focused mainly on capital goods, not goods consumers purchase directly. 

The President of the United States, Donald Trump, is expected to postpone his decision on the imposition of tariffs on cars imported from the European Union (EU) and Japan for up to six months.

The Trump administration  is set to formally announce a due date for Trump to make a decision on the automotive tariff increases in concurrence with the recommendations by the U.S. Commerce Department on Saturday, May 18.  Automakers reportedly anticipate that the decision will be postponed while negotiations with the European Union and Japan continue.

Days after the Trump administration made good on their promise to raise Section 301 tariffs on Chinese imports, China's State Council Customs Tariff Commission announced new tariffs on $60 billion worth of U.S. goods. China's latest tariffs on 5,140 products will take effect on June 1, adding up to 25% to the cost of U.S. goods that are covered by the new policy.

China’s latest counter-strike was expected after the U.S. raised Section 301 tariffs on May 10. Speaking about the likelihood that China would retaliate with their own set of tariffs, President Trump's top economic adviser Larry Kudlow said, "I reckon they will. We'll see what they come up with."