It would reduce US gross domestic product by almost 3 billion dollars and destroy 134,000 American jobs annually, according to a new study recently released by the federation and the Consumer Technology Association.
Washington has proposed imposing tariffs on up to $150 billion in Chinese products.
The United States is not seeking a trade war with China and top USA officials are looking to make a deal with Beijing, White House economic adviser Larry Kudlow said on Tuesday as talks between the two nations were set to resume.
WASHINGTON (AP) In a surprising overture to China, President Donald Trump said Sunday he would help a Chinese telecommunications company get "back into business", saying too many jobs in China are at stake after the USA government cut off access to its American suppliers.
Washington and Beijing have proposed tens of billions of dollars in tariffs in recent weeks, fanning worries of a full-blown trade war that could hurt global supply chains and dent business investment plans.
The quickest way to combat the trade imbalance is with tariffs, but the danger of US imposed tariffs is that China, among other countries, will react with their own tariffs, which will in turn spark an all-out trade war that threatens the health of the global economy.
An agreement could not be reached on the demands by the United States, and talks are to resume in Washington.
"The Chinese have said 'we want to see the specifics.' We gave them all the specifics in terms of trade issues".
ZTE had warned last month that the ban on U.S. firms supplying it with components threatened its very survival.
"There are many areas where China has promised to do but haven't". This had a significant impact on the company, said to be the fourth largest smartphone vendor in the USA before the ban, as it relies heavily on supplies from US corporations such as Qualcomm and Intel.
ZTE had earlier this month requested that the United States lift the seven year ban on USA companies supplying it with software and components.
The five-page letter, submitted on Friday and made public on Monday, was in response to a request for public comments by Lighthizer's office over its "Section 301" investigation, which authorizes tariffs in a bid to force changes to Chinese government policies over intellectual property. "Free and open trade, I think that's the solution". "It's possible, depending upon how the trade talks go".
"Tariffs are hidden, regressive taxes that will be paid by U.S. businesses and consumers, paradoxically harming U.S. competitiveness", the U.S. Chamber of Commerce, the largest business group in the country, said in its written comments submitted on Friday.
"The United States and China are the two biggest economies in the world".
It is no secret that the USA has a huge trade deficit with China. US companies that export to China have seen their goods held up at China's ports amid tougher inspections.