China Condemns New US Tariff Policy, Calls It Unilateral

The Chinese government has firmly opposed the new trade tariffs imposed by the United States government. ‘China’s position on China-US economic and trade issues is consistent and clear. We oppose all forms of unilateral tariffs,’ said Chinese Foreign Ministry Spokesperson Lin Jian at a press conference in Beijing on Friday. The United States began enforcing new tariffs of 10 to 12.5 percent on imports from 60 major trading partners, including China, Japan, and the European Union. The US government stated the policy was adopted because these countries were deemed not strict enough in banning imports of goods produced using forced labour. ‘Tariff wars and trade wars benefit no one,’ Lin Jian stressed. However, Lin Jian did not disclose whether China would take retaliatory measures regarding the new trade tariffs. The announcement of the new US trade tariffs came a day before the expiration of a 10 percent global tariff imposed by President Donald Trump in February. That temporary tariff was applied after the US Supreme Court struck down a previous reciprocal tariff policy against several countries, including fentanyl-related levies on products from China, Canada, and Mexico. According to the Office of the United States Trade Representative, the countries targeted by the new tariffs account for approximately 99 percent of total US imports. Unlike US allies, China did not receive special treatment, meaning the new 12.5 percent tariff will be added on top of existing duties. Besides China, Japan, and the EU, the tariffs also apply to Australia, Indonesia, the Philippines, Switzerland, Taiwan, and Thailand. The tariff rate is determined based on the alleged level of forced labour usage according to the US government’s assessment. Although most partner countries will face a 12.5 percent tariff, around 20 countries, including the UK, Indonesia, Malaysia, and Mexico, are only subject to a 10 percent tariff because they are considered to have taken stronger legal steps to prevent imports of goods suspected of being produced through forced labour. In Asia, the United States is applying higher tariffs to Japan and South Korea. However, goods from both countries that have already been subject to tariffs of 12.5 percent or more previously will be exempt from the additional levy. Furthermore, the new tariffs do not apply to products already subject to sectoral tariffs, such as cars and steel, which Trump previously imposed on national security grounds. The Trump administration initiated the trade investigation because it believes many US trading partners cut costs by using forced labour. Washington is also examining what it considers unfair practices related to industrial overcapacity in 16 economies, including China, India, Japan, Vietnam, and the European Union.