The Chinese and US flags meet their counterparts for China consultations on July 30, 2019, before meeting their counterparts for China’s consultations before the US trade delegation.
Aly Song |Reuters
BEIJING – China will “sturdyly reject” additional US tariffs on Chinese products and take measures, the Commerce Department said in a statement Tuesday.
The duties “harm” US-China’s trade ties, and China urges the US to withdraw them, the ministry said in Chinese, translated by CNBC. Beijing had previously warned about measures, but still explains them in detail.
After the first round of new US tariffs in February, China’s retaliation measures included raising the duties of certain US energy imports and placing two US companies on an unreliable list of entities that could limit business capabilities in Asian countries.
The White House confirmed that 10% new duties for Chinese products will take effect on Tuesday, bringing the total amount of new tariffs imposed at around one month to 20%.
Therefore, the average valid US tariff rate for Chinese goods is set to reach around 33%, from about 13% before US President Donald Trump began his latest term in January.
The Chinese state-backed Global Times reported Monday that Beijing is considering retaliatory tariffs on US agricultural products.
According to a research analysis by Allianz, US exports of US agricultural products such as soybeans to China account for the largest share of US goods exported to China at 1.2% ($22.3 billion as of 2023).
Oil and gas rank second at 1%, or $19.3 billion, according to the survey. Drugs ranked third with either 0.8% or $15.6 billion.
China on Tuesday will also launch its annual parliamentary meeting known as “Two Sessions.”
Policymakers are set on Wednesday to clarify their annual gross domestic product targets and annual fiscal stimulus plan.
