Goldman Sachs expects the United States to have 60% chance to impose tariffs on 300 billion Chinese goods.

Goldman Sachs analysts report that as China’s remarks have become more and more tough in recent days, it is expected that the Sino-US trade war will be further upgraded, including the introduction of tariff and non-tariff measures. The United States has a 60% chance to impose tariffs on the remaining $300 billion of Chinese exports to the United States, which was 40% higher than the earlier estimate.

US President Trump announced last week that he would impose tariffs on Mexican goods. The bank expects the United States to impose a 5% tariff rate of 70% on June 10 and a 50% probability of a 10% tariff increase on July 1. Goldman Sachs also reduced the possibility of confirming the US-Canada trade agreement from 60% to 35%

In addition, the bank lowered the US economic growth forecast for the second half of the year by half a percentage point to 2%, and significantly increased the possibility of the Fed cutting interest rates.