The US is about to hit China with yet more tariffs. How will Beijing respond?

China may introduce a round of retaliatory tariffs against the United States if Washington follows through on threats to raise duties on Chinese imports by another 10 per cent, Goldman Sachs has predicted.

Meanwhile, Beijing is likely to supplement the tit-for-tat duties with a broader mix of economic measures to protect its exporters from the latest round of US tariffs, which are due to go into effect on Tuesday, analysts told the Post.

Beijing may decide to expand last year’s economic stimulus policies to help Chinese exporters deal with the fallout, said Zhang Zhiwei, president and chief economist with Pinpoint Asset Management in Hong Kong.

Beijing will also “selectively increase tariffs on US imports”, said Dong Jinyue, principal economist at the Spanish financial services company BBVA.