U.S. increases China tariffs by $200 billion, but spares Apple, Fitbit

(FILES) In this file photo taken on July 12, 2018 shipping containers, including those from COSCO, a Chinese state-owned shipping and logistics company await transportation on a rail line at the Port of Long Beach in Long Beach, California. - US President Donald Trump on September 17, 2018 hailed his aggressive use of tariffs as a success for American business, amid reports he plans to drastically ratchet up the battle with Beijing imminently. China's foreign ministry vowed Monday to strike back if Trump presses ahead with plans to impose duties on another $200 billion in Chinese imports, which would leave about half of everything the United States buys from China subject to tariffs. (Photo by Frederic J. BROWN / AFP)FREDERIC J. BROWN/AFP/Getty Images less (FILES) In this file photo taken on July 12, 2018 shipping containers, including those from COSCO, a Chinese state-owned shipping and logistics company await transportation on a rail line at the Port of Long ... more Photo: FREDERIC J. BROWN, AFP/Getty Images Photo: FREDERIC J. BROWN, AFP/Getty Images Image 1 of / 1 Caption Close U.S. increases China tariffs by $200 billion, but spares Apple, Fitbit 1 / 1 Back to Gallery

The Trump administration is imposing tariffs on an additional $200 billion in Chinese goods starting next week, spanning dozens of crops, meat products and industrial materials.

The escalation of a trade war between the world’s two largest economies could lead to higher consumer prices and dampen trade. If China responds with more tariffs, the U.S. will impose tariffs on $267 billion in additional Chinese goods, President Trump said in a statement.

The tariffs will start at 10 percent and rise to 25 percent starting Jan. 1, affecting around 40 percent of goods China sold the United States last year.

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Apple, Fitbit and other Bay Area device makers who manufacture in China were largely spared. Smart watches and Bluetooth devices were removed from an earlier list of targeted imports, according to senior administration officials who briefed reporters Monday. Apple CEO Tim Cook had criticized tariffs as a tax on consumers. The Cupertino hardware maker unveiled a new model of its Apple Watch last week.

The Port of Oakland, Northern California’s hub for Chinese trade, said it’s too early to predict the impact of the new tariffs. In June, the U.S. imposed tariffs on $50 billion in Chinese goods, and China retaliated with a similar level of trade sanctions.

The port’s imports rose 9.2 percent in August compared with the prior year, which officials attributed to the strong economy and demand for consumer goods.

Exports have fallen in recent months and were down 3.7 percent in August. Mike Zampa, a Port of Oakland spokesman, said previous Chinese tariffs may have been a factor in the decline, but China’s new restrictions on recycled paper and the strong U.S. dollar probably had a greater impact.

“There has been some gradual decline in exports since March, and that precedes tariffs,” said Zampa. “Exporters have, for some months, been expressing caution.”

Zampa doesn’t expect major drops in export or import activity as a result of the tariffs, but said there’s “great uncertainty.”

California agriculture groups are bracing for more potential tariffs from China as demand for some products have already shown signs of weakness.

President Trump’s new list of tariffs includes “a lot of agriculture goods. Now we’re just in a ‘wait and see’ [on] what the Chinese will do in retaliation,” said Sara Neagu-Reed, associate director of federal policy at the California Farm Bureau Federation, which has nearly 40,000 members.

August marked the beginning of the peak harvest season for major California export crops, including walnuts, almonds and citrus fruits. Demand has already softened for walnuts as tariffs have escalated, said Pamela Graviet, senior marketing director at the California Walnut Commission, an agricultural trade group. Major export markets, including China, Turkey and India, are showing less enthusiasm for walnut purchases, she said.

“Buyers are more nervous,” Graviet said. “There’s not robust orders coming out of these markets.”

The full impact of tariffs on walnuts won’t be felt for a few months as the harvest continues, but concern is growing, she said.

“It’s destabilized world trade,” Graviet said.

The Associated Press and Bloomberg News contributed to this report.

Roland Li is a Chronicle staff writer. Email: roland.li@sfchronicle.com Twitter: @rolandlisf