How China plans to retaliate against US tariffs
What's the story
China is preparing to retaliate against new US import tariffs, the state-backed Global Times reported.
The impending taxes, announced by Donald Trump last week, include a 10% duty that would double the existing tariff rate to 20%.
The measures come amid Trump's accusations that China has not done enough to curb fentanyl trafficking into the United States.
Target
US agriculture likely target of China's countermeasures
The Global Times report suggests that China's countermeasures against the proposed tariffs could be both tariff and non-tariff.
US agricultural and food products are likely to be prime targets. This isn't the first time China has targeted American agricultural exports amid trade disputes.
During Trump's first term, Beijing slapped tariffs of up to 25% on soybeans, beef, pork, wheat, corn, and sorghum in retaliation for US duties on Chinese products.
Impact
China continues to reduce its reliance on US agricultural imports
China, the biggest market for US agricultural products, has reduced imports since 2018.
In 2024, China imported $29.25 billion worth of US agricultural products—a 14% decline from the previous year.
Analysts suggest that Beijing remains hopeful for a truce with the Trump administration, but with no trade talks in sight, the chances of reconciliation are diminishing.