China has been preparing for Donald Trump’s threat of tariffs.

The US President-elect is pledging to add another 10 percent on top of existing tariffs on Chinese exports, where he also slapped tariffs on Mexico and Canada.

In a post on Truth Social, Trump has made more about curtailing the supply of drugs and reducing illegal immigration. 

But Asia business correspondent Peter Lewis told Heather du Plessis-Allan it’s hard to know what China can really do about that.

He says economists predict the tariffs will reduce exports by about 15 percent, knocking off about 0.5 percent of China’s GDP.

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