Cars? Pork? Perfume? China has many options if a trade war breaks out with Europe

By KEN MORITSUGU
Associated Press

BEIJING (AP) — Now that Europe has announced tariffs on China-made electric cars, the continent is bracing to see if the other shoe drops. The Chinese government has said it will take “all measures necessary to protect our legitimate rights and interests.”  It hasn’t specified what those might be, but China has various options, including slapping tariffs on European cars, farm products or luxury goods. Analysts warn that an escalating trade war could break out, raising prices for consumers and hurting exporters and their workers on both sides. Both are major markets for each other — China, a rising economy of more than 1-billion people, and Europe with its relatively well-off population of more than 400 million.