China Hits Back with Tariffs on US Energy, Automobiles After Trump’s Trade Measures
Beijing has fired back at Washington with its own set of tariffs, targeting key American exports, including coal, liquefied natural gas, crude oil, and automobiles. The move comes in response to the United States’ latest trade measures against China.
On Sunday, February 2, US President Donald Trump, who was inaugurated on January 20, imposed sweeping tariffs on imported goods from its major trade partners. The decision included a 25% tariff on goods from Canada and Mexico and a 10% tariff on all Chinese imports. However, after negotiations, the US agreed to a 30-day suspension of tariffs for Canada and Mexico. Meanwhile, the new tariffs on Chinese goods officially took effect at 12:01 AM on Tuesday, February 4.
China’s government swiftly condemned the US move and announced retaliatory tariffs of its own. china’s Finance Ministry, while announcing the tariff said that US government violated rules of World Trade Organization (WHO).
“The unilateral imposition of tariffs by the United States is a grave violation of the rules of the World Trade Organization, will not be of help in solving its own problems, and will also harm normal economic and trade cooperation between China and the United States.”
The new tariffs, which take effect on February 10, 2025, will significantly impact US exports to China. According to a statement released by the State Council Tariff Commission, Beijing said:
- A 15% tariff will be imposed on coal and liquefied natural gas.
- A 10% tariff will be placed on crude oil, agricultural machinery, large-displacement cars, and pickup trucks.
The US and China are among the world’s largest trading partners, with over $1 trillion worth of goods exchanged between them, Canada, and Mexico annually. Washington’s reliance on Chinese imports is significant—China supplies about 32% of the US’s petroleum imports, according to recent trade data.
Also Read: What You Should Know About the US Trade War With Mexico, Canada, and China
The tariffs are expected to further strain relations between the two superpowers. While the Trump administration has cited issues like fentanyl trade and economic imbalances as reasons for the tariffs, China insists the move is a politically motivated attack on fair trade.
With negotiations ongoing between Washington, Ottawa, and Mexico City, economic analysts warn that the US-China standoff could drive up costs for businesses and consumers alike.
