Listen: India, US And Paul Ashworth discussed on Morning Edition
"Are going up on imports because of escalating tariffs on Chinese goods says Paul Ashworth at capital economics that suddenly push up inflation, but he predicts that affect will be limited because we produce a lot of what we consume domestically. I'm Mitchell Hartman for marketplace. A Federal Reserve survey of factories in New York state has turned downward for the biggest one month drop on record. We'll be watching to see if that pattern is repeated in the other fed regions. We'll be watching hearings that begin today looking into the effect of further raising US tariffs on Chinese goods in early, July higher import taxes could kick in all sorts of things clothing sporting goods mobile phones, laptops, and more. And this weekend India hit the US with some retaliatory tariffs of its own response to US steel and aluminum penalties levied on many countries, my marketplace colleague, the BBC's. John does on the line from London high anew. Hi, david. So when the US raised tariffs on foreign medals. We saw countries like Canada and Mexico responding right away or at least pretty quickly. Why did take so long for India to respond? Well, it did respond did say that it was going to increase tariffs on US imports, but it didn't actually implement those threats. I think part of the reason was that there were these ongoing talks between India and the US and remember that India was facing this big national election. Now, that's out of the way prime minister Narendra Modi's back with a huge mandate. And the fact that President Trump removed India from that generalized system of preferences, where roughly five billion dollars worth of Indian goods coming entire free. I think India now feels it can respond. And so it has raised tariffs on things like American apples, and almonds and walnuts. So I've been writing this using the phrase trade tensions US in India. Would you say? It's now a trade war. I"