China vows action against new Trump tariffs calls it an act of bullying

SINGAPORE/SHENZHEN – Beijing has vowed to take countermeasures against the latest US tariffs and urged Washington to resolve trade frictions through dialogue.

US President Donald Trump upped the stakes in the trade war with China on April 2 (April 3, Singapore time) by announcing an additional 34 per cent reciprocal tariffs on Chinese goods and the end of duty-free exemption for low-value imports from China.

The new duties come on top of the existing additional 20 per cent tariff slapped on China in February and March.

On April 3, a Chinese Commerce Ministry spokesperson criticised the latest US tariffs as being based on “subjective and unilateral assessments” by the US.

The tariffs are not in line with international trade rules and constitute “a typical practice of unilateral bullying”, the spokesperson added.

“History has proved that raising tariffs will not solve the US’ own problems, and will not only harm its own interests but also jeopardise the development of the global economy and the stability of the production and supply chain.”

The ministry urged the US to immediately remove the tariffs and resolve differences with its trading partners through dialogue on an equal footing.

Analysts said trade dynamics between the world’s two largest economies are still in flux, as negotiations – and retaliatory actions – unfold.

“I think this 34 per cent rate may change later. Trump and China would want to negotiate further. Depending on which side has the upper hand, the rate can go up or down,” Professor Henry Gao, an international trade expert at the Singapore Management University, told The Straits Times.

He calculated that the total US tariff rate on Chinese imports comes up to 79 per cent, taking into account existing tariffs dating back to the first Trump administration, excluding exemptions for certain goods.

Prof Gao