China revealed on Tuesday its decision to levy extra tariffs reaching 15% on certain U.S. products, largely agricultural, starting from March 10, with limitation of exports to only fifteen American enterprises.
The move, outlined by China’s Ministry of Finance and Ministry of Commerce, was implemented in response to newly imposed U.S. tariffs on Chinese goods.
The supplementary tariffs from China predominantly target American agricultural products like corn and soybeans, as indicated on the finance ministry’s official site. Among the businesses impacted by the export restrictions are Leidos and General Dynamics Land Systems, as stated by the commerce ministry.
The Ministry of Commerce has accused Washington of using fentanyl-related issues as a disguise for economic hostility.
China has consistently dismissed U.S. allegations that it facilitates the supply of fentanyl-related chemicals, maintaining that it upholds some of the world’s toughest drug enforcement laws. The Ministry of Commerce has strongly urged the U.S. to retract what it deems “unreasonable and unfounded” tariff decisions.
On March 4, an additional 10% tariff was imposed on China, along with a 25% tariff on imports from Canada and Mexico. Then, on March 12, a 25% tariff was applied to steel and aluminum imports.
By April 2, tariffs were extended to the European Union, affecting automobiles, semiconductor chips, and pharmaceutical products, all at a rate of 25%. Additionally, on the same day, global reciprocal tariffs were introduced, further escalating trade tensions worldwide.
Economists caution that these escalating tariff threats could further destabilize global supply chains, worsening economic uncertainties as both nations face internal challenges. The international community is left on edge as the situation unfolds, recognizing its potential ramifications on global stability.
