China Hits Back at the US with Targeted Tariffs
China hits the US with a slew of new targeted tariffs on all Chinese exports and several imported goods from said nation.
In response to the recent duties on goods imposed by the Trump administration, the Chinese government has imposed new tariffs on all Chinese exports to the US, as well as on some imported goods from said nation. According to Reuters, an additional 10% tariff will be imposed on all Chinese imports into the US after the US government repeatedly warned Beijing on its lack of effort in halting the flow of illicit drugs into the nation.
On top of that, China’s Finance Ministry has also announced additional levies of 15% for both coal and liquefied natural gas (LNG) coming from the US, while goods like crude oil, farming equipment, as well as several pick-up trucks and big-engined passenger cars shipped to China from the US will be hit by a 10% levy. Said duty might affect imported American EVs like the Tesla Cybertruck, which is poised to make its Chinese market entry sooner or later.
Separately, China’s Commerce Ministry and its Customs Administration are also planning to impose export controls on some rare earths and precious metals that are critical for the production of electronics, military equipment, and solar panels.
China's new tariffs on the targeted US exports will start on Feb 10, thus giving Washington and Beijing some time to try and reach a deal that Chinese policymakers have indicated they hope to strike with Trump. Compared to what the Trump administration has recently imposed, Beijing’s countermeasures were still limited in scope, but nonetheless it will carry an adverse effect on the trade wars between these two global economic superpowers.
With the tariffs yet to take place, a White House spokesperson told Reuters that US President Donald Trump is planning to speak with Chinese President Xi Jinping later this week, so there might be some last-minute changes taking place on these proposed tariffs and levies.
Source: Reuters
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Mukhlis Azman
An avid two-wheeler that writes and talks about four-wheelers for a living, while dreaming of an urban transit-laden Malaysia. @mukhlisazman
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