Beijing, March 4: Escalating the trade tensions, China retaliated against the latest round of tariffs imposed by US President Donald Trump by announcing new tariffs on American products and initiating legal proceedings against Washington at the World Trade Organization (WTO). Despite these moves, China emphasized its willingness to resolve disputes through negotiations based on mutual respect and benefit.
China's New Tariffs on US Products: Chicken, Wheat, Corn, and Cotton Targeted
Effective March 10, China's Customs Tariff Commission announced it would impose an additional 15% tariff on American imports including chicken, wheat, corn, and cotton. Moreover, products such as sorghum, soybeans, pork, beef, aquatic products, fruits, vegetables, and dairy items from the US will face an additional tariff of 10%.These actions are in direct response to the US government's decision, announced by President Trump, to levy a second round of 10% tariffs on Chinese exports effective March 4.
Legal Action Initiated at WTO
In addition to imposing tariffs, China has formally initiated legal action against the United States at the WTO, utilizing the organization's dispute settlement mechanism. According to the Ministry of Commerce, the latest US tariffs violate international trade rules and undermine the multilateral trading system, increasing burdens for businesses and consumers alike.10 US Firms Placed on China's 'Unreliable Entity List'
Further intensifying the situation, China has placed ten American companies on its "unreliable entity list," which primarily includes firms involved in defense, security, artificial intelligence (AI), aviation, information technology (IT), and dual-use products suitable for both civilian and military purposes. Specific countermeasures against these companies will soon follow.US-China Trade Tensions Cast Shadow on China's Annual Parliamentary Sessions
The timing of Trump's tariff announcement coincided with the commencement of China’s annual parliamentary sessions—the National People's Congress (NPC) and the Chinese People's Political Consultative Conference (CPPCC)—which began on Tuesday.Premier Li Qiang will present the government's work report and annual budget during the NPC session, starting Wednesday. The ongoing trade dispute has emerged as a major topic, particularly due to the significant trade relationship between the two nations.
In 2023, bilateral trade between the US and China stood at USD 575 billion, with Chinese exports to the US totaling USD 427.2 billion, making the US one of China's largest trading partners, accounting for approximately 15% of its total global exports.
US Tariffs Linked to Concerns over Drug Trade
President Trump's trade measures also address longstanding US concerns about the illegal trade of fentanyl—a powerful opioid drug contributing significantly to drug addiction in America. Trump initially imposed 10% tariffs on Chinese imports at the start of his second tenure and threatened during his election campaign to increase tariffs as high as 60%.China Calls for Dialogue, Rejects 'Threats and Pressure'
Despite retaliatory measures, China's stance remains open to diplomatic dialogue. Lou Qinjian, spokesperson for the NPC, reiterated at a press conference that the US tariffs violate WTO principles, disrupt global industrial stability, and threaten global supply chains."We stand ready to work with the United States to address each other's concerns through dialogue and consultation on the basis of mutual respect, equality, reciprocity, and mutual benefit," Lou said, firmly adding that China "will never accept any act of pressuring or threatening."
China, he affirmed, will continue to resolutely defend its sovereignty, security, and economic interests amidst this challenging period.