US‑China trade war escalates: Potential 245% tariff looming
More than 75 countries have expressed their willingness to negotiate with the United States regarding the tariffs imposed by the American side. Consequently, the administration of U.S. President Donald Trump may impose tariffs reaching up to 245% on imports from China, according to a White House press release.
"More than 75 countries have already reached out to discuss new trade deals. As a result, the individualised higher tariffs are currently paused amid these discussions, except for China, which retaliated. China now faces up to a 245% tariff on imports to the United States as a result of its retaliatory actions," stated the release published last Tuesday on the White House website.
At the beginning of the statement, information is provided about Donald Trump's signature on an executive order "launching an investigation into the national security risks posed by U.S. reliance on imported processed critical minerals and their derivative products."
If the Secretary of Commerce submits a report finding that imports of critical-mineral articles threaten to impair national security and the President decides to impose tariffs, any resulting tariff rate imposed under Section 232 would take the place of the current reciprocal tariff rate, pursuant to President Trump’s April 2 order, it reads.
In April, Donald Trump raised tariffs on Chinese goods from 84% to 125%, and combined with previously existing tariffs of 20%, the total burden amounted to 145%. In response, China increased tariffs on American goods from 84% to 125%.
Reuters reported that Chinese authorities have launched a diplomatic campaign to encourage other countries to oppose American tariff duties.
