Trump tariffs: China's tit-for-tat levies on US set to take effect
2025-02-09
Category: news

China's tit-for-tat import taxes on some American goods are set to come into effect on Monday as the trade war between the world's two biggest economies escalates and US President Donald Trump threatens to hit more countries with tariffs. Beijing announced the plan on 4 February, minutes after new US levies of 10% on all Chinese products came into effect.On Friday, Trump said he was planning "reciprocal tariffs" on other nations in the coming days as he aims to reshape the US' global trade relationships.The president did not say which countries could be targeted but suggested it would a broad effort that may also help solve US budget problems.
From 10 February, China will charge a 15% border tax on imports of US coal and liquefied natural gas products. There is also a 10% tariff on American crude oil, agricultural machinery and large-engine cars. Last week, Chinese authorities launched an anti-monopoly probe into technology giant Google, while PVH, the US owner of designer brands Calvin Klein and Tommy Hilfiger, was added to Beijing's so-called "unreliable entity" list.China has also imposed export controls on 25 rare metals, some of which are key components for many electrical products and military equipment.Speaking on Friday during a meeting at the White House with Japanese Prime Minister Shigeru Ishiba, Trump threatened to impose new tariffs on imports from more trading partners."I'll be announcing that, next week, reciprocal trade, so that we're treated evenly with other countries," Trump said.The move would fulfil an election campaign pledge to levy tariffs at the same rates that are imposed on US goods.He also said import taxes for vehicles remained on the table after reports that he was considering exemptions to universal tariffs.Trump has repeatedly complained that European Union (EU) tariffs on imports of American cars are much higher that US levies.Last week, Trump told the BBC that tariffs on EU goods could happen "pretty soon" - but suggested a deal could be "worked out" with the UK.
The day after the latest US tariffs came into effect, Beijing accused Washington of making "unfounded and false allegations" about its role in the trade of the synthetic opioid fentanyl to justify the move.In a complaint lodged with the World Trade Organization (WTO), China said the US import taxes were "discriminatory and protectionist" and violated trade rules.But experts have warned that China is unlikely to secure a ruling in its favour as the WTO panel that settles disputes remains unable to function.Trump had been expected to speak to his Chinese counterpart Xi Jinping in recent days but the US president has said he was in no hurry to hold talks.Some of the many measures brought in by Trump since he took office on 20 January have been been subject to change.On Friday, he suspended tariffs on small packages from China, which, along with the additional 10% tariffs, came into effect on 4 February.The suspension will stay in place until "adequate systems are in place to fully and expediently process and collect tariff revenue".After the order ended duty-free treatment of shipments worth less than $800 (£645) the US Postal Service (USPS) and other agencies scrambled to comply.USPS temporarily stopped accepting packages from China, only to U-turn a day later.Last weekend, Trump said he was putting 25% tariffs on goods from Mexico and Canada but quickly paused those duties for a month while negotiations continue.