Donald Trump has followed his promise to reducing the United States’s huge economic weight to come back to China for the deadly trade practices of the US and the US’s deadly Phentineel crisis.
The President said on Saturday that Chinese exports to the United States would be subject to additional 10 percent tariffs in addition to various rates of duties that they already face.
China said back on Sunday, saying that it “strongly opposed the move” and will take “the same counterters” to protect its interests completely.
China-US trade relations stand here:
How much business is at stake?
According to Washington, trade between China and the United States – the two largest economies in the world – is huge, which exceeds $ 530 billion in the first 11 months of 2024.
Over the same period, the sale of Chinese goods to the United States was more than $ 400 billion, only for Mexico.
According to Peterson Institute of International Economics (PIIE), China is a major supplier of goods ranging from electronics and electrical machinery to textiles and clothes.
But a yawning trade imbalance – has long raised hackle in Washington for $ 270.4 billion for January to November last year.
Therefore, China has a huge state support for its industries, which promotes dumping allegations, as well as American firms working in their field as well as its abuse.
But China’s economy is very much dependent on exports to promote development despite official efforts to increase domestic consumption – made its leaders reluctant to change the status quo.
What happened during Trump’s first term?
In 2016, Trump also tried to visit the White House with China, a trade war that slapped the important tariffs on hundreds of billions of dollars of Chinese goods.
China responded with an anti -anti -retardation tariff on US products – especially influenced American farmers.
Major American demands were more accessible in Chinese markets, a comprehensive improvement of a trading playground that is in favor of Chinese firms, and loosen heavy state control by Beijing.
After a long time, the two sides agreed that “phase a” trade deal is known-a ceasefire in a two-year-old trade war.
Under the agreement, Beijing agreed to import $ 200 billion American goods, including $ 32 billion in agricultural products and seafood.
But in front of the Kovid -19 epidemic and an American recession, analysts say Beijing was well reduced by that commitment.
“Finally, China had bought only 58 percent of American exports, committed to purchasing under the agreement, not enough to reach its import level before the trade war,” Pai’s Chad P. Brown wrote.
“Differently, China promised Trump’s deal, bought none of the 200 billion exports of 200 billion.”
How did things change under biden?
Trump’s successor Joe Biden did not refund the growth made by his predecessor, but took a more targeted approach when Tariff Hike arrived.
Under the biden, Washington expanded efforts to curb the export of state-of-the-art chips to China-part of a comprehensive effort to prevent sensitive US technologies being used in Beejing’s military arsenal.
His administration also used tariffs, so that he would say the “industrial hypocritis” of China, on which he is afraid of the industrial subsidy of the country for green energy, cars and batteries, he can flood the global markets with cheap goods. .
In the last May, Biden ordered a tariff on a $ 18 billion imports from China, alleging “cheating” instead of competing with Beijing.
Under hike, tariffs on electric vehicles increased by 100 percent, while tariffs increased from 25 percent to 50 percent.
Measures also targeted strategic areas such as batteries, important minerals and medical products.
Both sides have started investigating the alleged inappropriate trade practices of others along with dumping and investigation into state subsidies.
what happens next?
Trump’s announcement on Saturday revealed that his long -standing tariff hike was serious and not an inauguration in the talks.
Mercurial magnets have also tied the tariff for the fate of Chinese-owned social media app Tikktok-if no deal can be made to sell it, then warning of vengeance.
But Beijing’s strong reposy has given up a little doubt that it will push back against measures that have long been seen as inappropriate.
The Ministry of Chinese Commerce has “swear by similar counterators to protect our rights and interests completely, without saying how they would take.
It has also been said that it will take its case for the World Trade Organization against Trump’s tariff, although it is unlikely to change the short term.
There is a more immediate threat by the Ministry of External Affairs of Beijing that duties will be “compulsorily affected and damaged future bilateral cooperation on drug control”.
The Chinese President Xi Jinping in San Francisco in 2023 puts a new shadow on the counternarcotics dialogue starting again.
A US-China work group later stated that it would increase the regulation of the three major Phentenele pioneers, although it is not clear how much success has been achieved.
(Except for the headline, the story has not been edited by NDTV employees and is published by a syndicated feed.)
