The US Trade Representative office will hold hearings on the targeted products and it's expected it will take about two months to finalize the list, at which point Mr Trump would decide whether to go ahead with the tariffs.
The move marked the latest escalation of the ongoing trade war between Washington and Beijing.
The list could be released as soon as Tuesday, and likely this week, according to the people, who spoke on condition of anonymity because the matter isn't public.
The Trump administration is readying tariffs on another $200 billion United States in Chinese imports, ranging from burglar alarms to mackerel.
This builds on 25 per cent tariffs on $US34 billion worth of Chinese imports into the US that took effect at midnight on Friday, and carries out US President Donald Trump's threat to respond to any Chinese retaliation to those taxes. "There is no justification for such action", he said in a statement.
Consumer-goods companies have been bracing for months as the Trump administration steadily ramped up its rhetoric on trade with China and other major trade partners.
The calm before the semi-final storm
It will be a battle again but I believe in us. "I'm glad that I scored goals but the most important thing is to help the team". Croatia reached the quarterfinals in its first tournament in 1996 and has advanced that far only once since.
Tuesday's announcement included a 205-page public notice and list of the individual products that could be hit by the new 10-percent tariffs. The trade war could also jeopardize China's help in confronting North Korea's nuclear program.
The move comes just days after the United States and China imposed tit-for-tat tariffs of $34bn on the other countries' goods.
Chinese officials are expected to retaliate in other ways, hitting US firms in China with unplanned inspections, delays in approving financial transactions and other administrative headaches. But Mr Trump hasn't backed down, arguing that China's unfair trading practices are hurting American workers.
The Trump administration has accused companies in China of repeatedly committing intellectual property theft and other unfair trade practices, while it says China's government remains unresponsive to its concerns.
Administration officials said they hoped the measures would convince the Chinese government to increase market access for USA companies and address allegations of the theft of intellectual property.
Chinese officials also encouraged businesses to reduce their reliance on US goods, urging them to shift orders for products such as soybeans and automobiles to suppliers in China or countries other than the United States.