Beijing, China - In a swift response to tariffs imposed by the United States, China has levied a 34% tax on all imports originating from the U.S. This retaliatory measure, announced early Thursday, mirrors the tariffs recently enacted by the Trump administration. The move signals a deepening of the trade conflict between the world's two largest economies.
Beyond the import taxes, China has also indicated its intention to tighten export controls on rare earth elements. These elements are vital components in the manufacturing of various high-tech products, including smartphones, electric vehicles, and defense systems. Restricting their export could significantly impact American industries reliant on these resources.
Economists are warning that this escalating trade war could have far-reaching consequences. Increased costs for businesses and consumers, disruptions to supply chains, and a slowdown in global economic growth are among the potential risks. Negotiations between the two countries are expected to continue, but the path forward remains uncertain.
China Responds to US Tariffs with Import Taxes
China has announced a 34% tax on all goods imported from the United States. This action is in direct response to recent tariffs imposed by the Trump administration on Chinese products. The Chinese government also plans to tighten export controls on rare earth elements, which are crucial for many US industries. This escalating trade dispute could have significant impacts on the global economy.
Source: Read the original article at CBS