China hits back at US with 34% import tariffs

Richard Sanders

China will impose a 34% tariff on all imports from the US starting April 10, the countryโ€™s Finance Ministry announced on Friday. The decision follows US President Donald Trumpโ€™s announcement of a 34% levy on Chinese goods in the latest escalation of a tariff war.

Beijingโ€™s announcement comes after the Ministry of Commerce condemned the US tariffs, denouncing them as โ€œunilateral bullying.โ€

Trump on Wednesday rolled out a broad new slate of tariffs ranging from 10% to 49% on imports from all countries, based on what the US president called the principle of reciprocity.

China โ€“ labeled one of the โ€œworst offendersโ€ by Trump โ€“ was hit with a new 34% tariff on its exports to the US, on top of an existing 20% levy, bringing total duties to at least 54%.

Beijing has also filed a lawsuit with the World Trade Organization (WTO) in response to the tariffs.

Alongside the WTO action, Chinaโ€™s Commerce Ministry introduced new restrictions aimed at American companies. Eleven US firms were added to Chinaโ€™s unreliable entities list due to their reported military cooperation with Taiwan. Additionally, 16 US companies were placed under new export control measures designed to monitor the transfer of dual-use goods.

Prior to the latest round of Washingtonโ€™s duties, the US and China had a sharp tariff gap. According to Bloomberg calculations, Chinaโ€™s average tariff on US products stood at 17.8%, compared to the 32.8% levied by the US on Chinese goods.

โ€œThe US action does not abide by international trade rules, severely undermines Chinaโ€™s legitimate and lawful rights and interests, and is typical unilateral bullying,โ€ the Finance Ministry said in a statement announcing the reciprocal 34% tariffs.

Beijing has condemned the measures, warning that they damage the balance established through years of multilateral trade negotiations. It has urged Washington to โ€œimmediatelyโ€ remove the tariffs and resolve any disputes through โ€œfair and equal dialogueโ€ with its trade partners.