Publish: 21:03, 04 Mar, 2025

China retaliates against US tariffs

Online Desk
China retaliates against US tariffs

"China will fight to the bitter end of any trade war," the foreign ministry spokesperson in Beijing declared, after China announced tit-for-tat tariffs on agricultural imports from the US, BBC reported.

The latest development came within minutes of a new 10 percent US levy on Chinese imports that came into effect on Tuesday - which adds to existing tariffs both from Trump's first term and those announced last month.

But China's retaliatory measures are an opening swing, not a direct punch.

It shows some strength, and it has the potential to sting parts of the United States, but also leaves room to negotiate or escalate if necessary.

"We advise the US to put away it's bullying face and return to the right track of dialogue and co-operation before it is too late," foreign ministry spokesperson Lin Jian said.

This is the second round of tariffs the two countries have imposed on each other since February. But this time China is hitting Donald Trump where it has the potential to hurt - by targeting farmers, who are some of his core supporters.

Almost 78 percent of farming-dependent counties in the US endorsed Trump in 2024.

China is one of their biggest customers for produce such as chicken, beef, pork and soybeans and now all those products will face a 10-15 percent tax which will come into effect on March 10.

"The tariffs are broadly negative for US agricultural markets. It is going to have a bearish influence on prices. There are enough corn and soybean supplies in the world for China to make a switch, it is more of an issue for the US, because 30 percent of US soybeans still go to China," Ole Houe, of Ikon commodities.

Beijing may hope that this will apply some pressure on the Trump administration ahead of any potential negotiations.

The steps raise the prospect of an all-out trade war between the world's top two economies and in various ministry statements, China is making two things very clear.

bd-pratidin/GR

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