China is preparing countermeasures to oppose the new tariffs imposed by the U.S., reported the Global Times, thereby raising the stakes in the escalating trade war between the two strongest economies in the world.
U.S. President Donald Trump threatened China last week with an additional 10 percent tariff set to take effect on Tuesday, which would cumulatively amount to a 20 percent tariff. Additionally, he accused Beijing of not doing enough to prevent the entry of fentanyl into the U.S., which China deemed an attempt at “extortion.”
– China is studying and formulating countermeasures to respond to the U.S. threat of imposing an additional 10 percent tariff on Chinese products under the pretext of preventing fentanyl smuggling – reported the Global Times on Monday, citing an anonymous source.
The countermeasures will likely include tariffs and a range of other measures, with agricultural and food products likely to be on the list, it added.
The Chinese Ministry of Commerce and the U.S. Embassy in Beijing did not respond to a request for comment.
China remains the largest market for U.S. agricultural products, despite a decline in imports after Beijing imposed tariffs of up to 25 percent on soybeans, beef, pork, wheat, corn, and sorghum in 2018, retaliating against tariffs imposed by Trump on Chinese goods.
The world’s largest importer of agricultural products and the second-largest economy in 2024 imported U.S. agricultural products worth $29.25 billion.
After Trump’s announcement, Beijing had less than a week to devise countermeasures or reach an agreement. Analysts say that Beijing still hopes for negotiations with Trump’s administration, but with no signs of trade talks, the possibility of rapprochement between the two economies is diminishing.
