China imposes 34% tariffs on the United States

On April 4, the Chinese government announced that it would impose a 34% tariff on all imported goods originating from the United States on top of the current applicable tariff rate. As a retaliatory measure against the “reciprocal tariff” announced by the Trump administration of the United States, the tariff rate will be the same as that of the United States. The measure will take effect at 12:01 noon on April 10 (13:01 on the 10th, Japan time).

China previously imposed additional tariffs of 10% to 15% in February and March as retaliatory measures against the United States. This time, it is further levied on the current tariff rates of US-produced oil, liquefied natural gas (LNG), agricultural products, etc., which have become the targets of additional tariffs at this stage. The Tariff Commission of the State Council (Government) of China criticized in a statement: “The US practice is not in line with international trade rules, seriously undermines China’s legitimate rights and interests, and is a typical unilateral bullying practice.”

The Ministry of Commerce of China also revealed that it has filed a lawsuit with the World Trade Organization (WTO) regarding the US’s reciprocal tariff measures. China’s Ministry of Commerce countered that “the US’s imposition of so-called ‘reciprocal tariffs’ seriously violates WTO rules, seriously damages the legitimate rights and interests of WTO members, and seriously undermines the rules-based multilateral trading system and international economic and trade order. It is a typical unilateral bullying practice that endangers the stability of the global economic and trade order. China firmly opposes this.” And demanded that the US cancel its unilateral tariff measures.

Like previous retaliatory measures, China also combined countermeasures other than tariffs this time. On April 4, the Chinese government listed seven rare earths, including dysprosium metal used in pure electric vehicles (EVs), as export control targets. Unless the Chinese government permits, exporters will not be able to export.