China to impose new tariffs on US agricultural imports in response to US tariff hikes, escalating trade tensions.
In Short
China will impose new tariffs on US agricultural imports next week, with additional rates on chicken, wheat, and other goods, following US tariff increases. This decision escalates trade tensions between the US and China, prompting potential retaliatory actions and legal challenges.
China announced that it will impose new tariffs on various agricultural imports from the United States, starting next week.
The tariffs include an additional 15 percent on chicken, wheat, corn, and cotton.
Additionally, a 10 percent tariff will be placed on sorghum, soybeans, pork, beef, aquatic products, fruits, vegetables, and dairy products.
This decision follows US President Donald Trump’s order to raise the existing 10 percent tariff on Chinese goods to 20 percent. Beijing’s finance ministry expressed condemnation of what it described as the “unilateral imposition of tariffs by the US.”
Trade cooperation
The ministry stated that the US actions exacerbate the burden on American companies and consumers while undermining economic and trade cooperation between the two nations.
Furthermore, China’s commerce ministry announced plans to file a lawsuit with the World Trade Organisation regarding the additional tariffs. This escalation in trade tensions marks a significant development in the ongoing economic conflict between the US and China.
The impacts of these tariffs are likely to be felt across various sectors, affecting trade dynamics and pricing for consumers and businesses alike. Stakeholders in both countries will be closely monitoring the situation as further retaliatory measures could follow.
Market reactions are expected as the news develops, with agricultural sectors particularly at risk.
