Winning the trade war

This company is laying off almost all its workers because of tariffs

Element Electronics, which assembles televisions, notified the state of the expected job cuts earlier this week. 

The company also plans to close its plant in the town of Winnsboro.

The company said the layoffs and plant closure were a direct result of US tariffs on goods imported from China, including important parts that Element uses to put together TVs.

The layoffs will begin in October. By the end of the year, a skeleton crew of eight people will be left, the company said.

Element said on Twitter that it is working to have the parts removed from the tariff list, and hopes it can avoid closing the plant. In its notice, it also said it could reopen in three to six months.

China to put 25% tariffs on $16 billion worth of US products

The Chinese government said in a statement Wednesday that the taxes would be imposed on August 23.

The US products in line for tariffs include chemical items and diesel fuel.

The world's top two economies have repeatedly sparred over trade in recent months, in what experts warn may become a devastating cycle of retaliation.

Related: The US-China trade war is about to get real

On Tuesday, the Trump administration unveiled its own list of roughly $16 billion worth of imports from China that will be hit with 25% tariffs.

The latest US tariffs on 279 products, including motorcycles, speedometers and antennas, will also take effect August 23.

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In July, the administration imposed 25% tariffs on $34 billion in Chinese imports. Beijing, accusing the United States of trade bullying, has retaliated by imposing tariffs on an equal measure of American goods.

The United States and China trade goods and services worth about $650 billion each year, the largest trading relationship in the world between two countries.

But China exports far more to the United States than the other way round, making it more challenging for the country to hit back against US tariffs.