Trump Hints at Lowering Fentanyl Tariffs on China

On October 29, US President Donald Trump indicated he would lower the 20% tariffs imposed on China, citing China’s perceived lack of proactive measures to combat the synthetic drug fentanyl. Lowering tariffs will be a major topic of discussion at the US-China summit in South Korea on October 30.

Trump made the remarks while answering reporters’ questions on his presidential plane from Japan to South Korea.

Trump stated, “I will lower the tariffs because I think China will help us solve the fentanyl problem.” Trump had previously stated on October 23 that the fentanyl issue was a “top priority” during his meeting with Chinese leaders.

The Wall Street Journal reported on October 28 that the US might lower the fentanyl tariffs on China from 20% to 10%.

Trump considers the influx of fentanyl an emergency, demanding not only from neighboring Mexico and Canada but also from China, the exporter of the raw material. He imposed tariffs citing China’s inaction in combating smuggling.

This is a different framework from the reciprocal tariffs imposed on a wide range of countries and regions; the tariff rate on Chinese products was set at 20% starting in March.

During the Sino-US summit on the 30th, China’s rare earth export controls and the US imposing “port entry fees” on Chinese ships are also expected to be on the agenda.

Trump, in opposition to rare earth export controls, once stated that he would impose a 100% tariff on imports from China, but the likelihood of this not being implemented is increasingly probable.