China planned to retaliate against the new US tax

“Officials are researching and outlining the corresponding policy to respond to the US threat of an additional 10% more import tax to Chinese goods, due to the problem of Fentanyl (a drug).” Global Times (China) Excerpts from close sources to say on March 3. The response measures include both tariff and non -tariff policies. US agricultural and food products are likely to be included in the retaliation list, which said.

Last week, Donald Trump said the 25% import tax imposed on Mexico and Canada goods will take effect from March 4. China will also be applied another 10% of the same day. Earlier, from February 4, all Chinese goods to the US were supplemented with 10%additional tax.

China is currently the largest agricultural importing country in the world and also the largest market for American agricultural products. This field has long been an attack target whenever the trade tensions of the two countries have increased.

Last year, China bought US $ 29.25 billion in agricultural products, down 14% over the same period last year. In 2023, the reduction was 20%.

“Although imports have decreased since 2018, adding taxes on agricultural products such as soybeans, meat and cereals will still have a great impact on trade relations between the two countries, as well as American exporters and farmers,” said Genevevevaellon-May, analyst at Oxford Global Society.

She said that the American agricultural product has had time to prepare for Mr. Trump’s second term, with lessons learned from the first term. “In theory, the US should find other markets. However, reality is much more complicated,” she said.

Analysts said Beijing still hopes to negotiate agreement with the Trump administration. However, up to now, there has been no signs that this will soon take place.

“The US -China trade war is not unavoidable. However, Mr. Trump’s decision to impose taxes will make the situation worse. Mr. Trump and advisers may think that the taxpayer at this time will put pressure on China. However, this will only backfire and China will respond strongly,” said Wang Dong – Director of the Institute of Global Cooperation at the University of Beijing – said above above the above University – said above above above, on the above University, on the above University – on the above University – said above above Reuters.

On February 4, right after the US 10% import tax took effect, China launched retaliation. Accordingly, coal and natural liquefied gas (LNG) are subject to 15%tax. Taxes for crude oil, farm machinery and some cars are 10%. Many important metals are squeezed for export. Google was investigated against exclusive, and two other US companies were put into the blacklist by China.