China announces retaliatory tariffs on $75 billion of U.S. goods

Why it matters, via Axios’ Dan Primack: Expectations were that the markets would be focused primarily on Fed Chair Jerome Powell’s speech in Jackson Hole this morning, but this news will refocus investors on trade.

The tariffs are a direct response to President Trump’s announcement earlier this month that the U.S. would levy 10% tariffs on the remaining $300 billion of U.S. imports from China on Sept. 1 — with some of those tariffs pushed back to Dec. 15 to account for the holiday season.

The big picture: China’s announcement also included news that it would increase its tariffs on U.S. automobiles back to 25% on Dec. 15. It had slashed those tariffs to 15% — in line with its imports from other countries — last December after progress on the issue during talks between Trump and Chinese President Xi Jinping at the G20.