China Retaliates With Tariffs on US Imports Amid Escalating Trade Tensions
BEIJING: In a swift response to fresh US tariffs, China announced on Tuesday that it will impose 10 percent to 15 percent tariffs on American agricultural and food products, significantly escalating the tensions in what is quickly becoming an all-out trade war between two of the world's largest economies.
As part of its retaliation, Beijing placed twenty-five US firms under stringent export and investment restrictions, though conspicuously avoiding any major household names, as had been targeted previously following US tariffs on February 4. Among these firms, ten were penalized for selling arms to Taiwan, which China considers part of its sovereign territory.
These latest moves arose as President Donald Trump's threatened additional 10 percent duties entered into force, bringing the total to a 20 percent tariff, over grievances stated by the White House regarding alleged inaction by China concerning drug flows.
China, long critical of US drug policy, condemned these measures as "fentanyl blackmail", countering with tariffs that seriously affect global economic and trade cooperation lines, according to a statement by China's commerce ministry.
The newly announced Chinese tariffs extend existing levies on thousands of US imports, particularly consumer electronics, which had already seen substantial tariff increases under the previous US administration. Further scrutiny from both sides threatens to intensify hostilities between the two. Analysts indicate that, despite these hostilities, there remains a window for negotiations that Beijing might still pursue to avert a full-blown trade war, showing some hope for diplomatic resolution amid tense trade hallways.
Amid these growing tensions, China declared additional 15 percent tariffs on US agricultural products such as chicken and wheat, and 10 percent tariffs on products like soybeans and dairy, scheduled to take effect from March 10.
This unfolding economic showdown has prompted China’s commerce ministry to assert that the US's unilateral measures violate World Trade Organization rules, impacting crucial economic and trade cooperation.
