China threatens the remedies for combating Trump tariffs

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Beijing hit the new 10 percent tariffs imposed by the US to Chinese export, saying that “it will take the necessary remedies to defend their rights and interests”, because commercial tensions between the two powers will enter a new phase.

The Ministry of Foreign Affairs announced on Sunday that China opposed the tariffs that, he said, were introduced “under the pretext of fentanyl problem”.

“The United States must watch and solve their own feentanyl problem in an objective and rational way, instead of threatening other countries with any tariff increases,” said MFA.

The Chinese Ministry of Trade said that it would submit a lawsuit to the World Trade Organization.

An additional 10 percent fees are coming next New 25 -percent tariffs on exports from Canada and Mexico, when President Trump begins an extended trade war, in accordance with a number of funds imposed on China by the US during the first term.

Trump said that the influx of “illegal aliens” and drugs, including opiate fentanyl, created a “national accident” that justified the tariffs.

During last year’s election campaign, he warned up to 60 percent of China about tariffs, but then signaled the 10 percent rate. He combined fees with the country’s role in the flow of ingredients or “precursors” for fentanyl.

China He agreed to take action To stop the flow of precursors at the top between the president of XI Jinping and the then president Joe Biden in San Francisco in November 2023, the administration wanted China to do much more.

Although widely expected, funds are a significant challenge for the government of the XI Jinping at a time when the weaknesses of domestic demand have become especially dependent on exports of economic growth. Last year, the trade surplus in China struck record level Near $ 1.

Tao Wang, China’s chief economist at UBS Investment Bank, said that the tariffs were imposed faster than expected, and the overall rate of 10 percent was more expansive than phase funds under Trump’s first administration.

“This is wider and probably much larger than the first round,” she said, adding that many expected Trump to add more tariffs when his officials finished the Review of Trade Policy in April.

Wang said that she was expecting GDP to hit in China from 0.3 to 0.4 percent.

In the report published last week Morningstar said that 10 % tariffs would most affect home appliances, home equipment, lithium batteries and electric vehicles in China. But he added that many companies “probably see the impact of less than 5 percent of their total revenues” and that “they may not be as bad as some industries were afraid.”

Beijing also stands in the face of trade tensions with the EU over tariffs applied to electric vehicles last summer, which led to the wave of counteracting products from products cognac to dairy.