Donald Trump led US vs Xi Jinping led China - Tariff Wars: Blow by blow account since 2018
US President Donald Trump has said he would raise tariffs to 25 percent from 10 percent on $200 billion of Chinese imports by the end of the week. Trump has rattled the world trade order by imposing unilateral tariffs to combat what he calls unfair trade practices by China, the European Union and other major trading partners of the United States. The US government hit China with the most extensive tariffs, starting a trade war between the world`s two largest economies. Beijing has retaliated with tariffs on imports from the United States.
Neither side has raised tariffs since Trump and Chinese President Xi Jinping met in Argentina in November 2018 and agreed to a truce while their teams negotiated an end to the trade war. Here is a rundown of major U.S. tariff actions and retaliatory measures since January 2018.
US TARIFFS ON CHINA
- 25 percent tariffs on $50 billion worth of Chinese technology goods including machinery, semiconductors, autos, aircraft parts and intermediate electronics components imposed on July 6 and Aug. 23 as part of "Section 301" probe into China`s intellectual property practices.
- 10 percent tariffs on $200 billion worth of Chinese goods including chemicals, building materials, furniture and some consumer electronics, imposed on Sept. 24 as a response to Chinese retaliation. The levy on these imports is scheduled to increase on increase to 25 percent on May 10.
- Trump said on Sunday he would impose tariffs on an additional $325 billion worth of Chinese goods. The U.S. imported just under $540 billion of Chinese goods in 2018. So tariffs on $325 billion on top of the $250 billion of goods already subject to the import tax would likely cover all 2019 imports- including cell phones, computers, clothing, footwear and other consumer products. Image source: Reuters
CHINESE TARIFFS ON UNITED STATES
- 25 percent tariffs on $50 billion worth of U.S. goods including soybeans, beef, pork, seafood, vegetables, whiskey, ethanol, imposed on July 6 and Aug. 23 in retaliation for initial rounds of U.S. tariffs. China has suspended a 25 percent duty on U.S. auto imports during their trade negotiations. Beijing has resumed some purchases of U.S. soybeans but has not formally suspended those tariffs.
- Tariffs of 5 percent to 10 percent on $60 billion worth of U.S. goods, including liquefied natural gas, chemicals, frozen vegetables and food ingredients, imposed on Sept. 24.
- Based on 2018 U.S. Census Bureau trade data, China would only have about $10 billion in U.S. imports left to levy in retaliation for any future U.S. tariffs. Retaliation could come in other forms, such as increased regulatory hurdles for U.S. companies doing business in China. Image source: Reuters
US GLOBAL TARIFFS
- 25 percent tariffs on imported steel and 10 percent tariffs on imported aluminum, imposed on March 23, 2018 on national security grounds. Exemptions have been granted to Argentina, Australia, Brazil and South Korea in exchange for quotas, and negotiations over quotas continue with Canada, Mexico and the European Union.
- 20 percent to 50 percent tariffs on imported washing machines, imposed on Jan. 22, 2018 as a "global safeguard" action to protect U.S. producers Whirlpool Corp and GE Appliances, a unit of China`s Haier Electronics Group Co Ltd. Image source: Reuters
- 30 percent tariffs on imported solar panels, imposed on Jan. 22, 2018 as a "global safeguard" action to protect U.S. producers Solar World, based in Germany, and Suniva, owned by China`s Shunfeng International Clean Energy Ltd.
- Trump is considering tariffs of around 25 percent on imported cars and auto parts, based on a U.S. Commerce Department study of whether such imports threaten U.S. national security. The new U.S.-Mexico-Canada Agreement protects Canadian and Mexican production in the event of such tariffs through a quota system. Trump has pledged not to impose auto tariffs on Japan and the European Union while trade negotiations with those partners are underway. Image source: Reuters
CANADIAN TARIFFS ON UNITED STATES
MEXICAN TARIFFS ON UNITED STATES
EUROPEAN UNION TARIFFS ON UNITED STATES
- The European Union on June 22 imposed import duties of 25 percent on a $2.8 billion range of imports from the United States in retaliation for U.S. tariffs on European steel and aluminum. Targeted U.S. products include Harley-Davidson motorcycles, bourbon, peanuts, blue jeans, steel and aluminum. Image source: Reuters
INDIAN TARIFFS ON UNITED STATES
- India, the world`s biggest buyer of US almonds, on June 21 raised import duties on the nuts by 20 percent and increased tariffs on a range of other farm products and U.S. iron and steel, in retaliation for U.S. tariffs on Indian steel.
- Trump said last month that he would end preferential trade treatment for India, which would result in U.S. tariffs on up to $5.6 billion of imports from India. If that happens, India is expected to retaliate with tariffs on US goods. Image source: Reuters