Tensions between the United States and China are rising again. Beijing has openly warned President Donald Trump's administration against reintroducing high tariffs on Chinese goods, while also threatening retaliation against countries that side with Washington in excluding China from key global supply chains.
🔹 Fragile Truce Nears a Breaking Point
In June, the two economic superpowers reached a temporary trade truce. However, that peace is hanging by a thread—August 12 marks the deadline to finalize a lasting agreement. If a deal isn’t struck, the U.S. has threatened to reinstate tariffs that can exceed 100% on certain Chinese goods.
🔹 Trump Set to Reimpose Tariffs on August 1
On July 7, Donald Trump informed trade partners that new U.S. import tariffs will take effect on August 1, after previously postponing most of them in April—leaving only a 10% rate for most countries to allow more time for negotiations with the world’s largest economy. The pressure is on China, which now has until August 12 to secure a deal. Otherwise, additional restrictions from earlier tariff escalations will be reinstated.
🔹 Beijing Labels U.S. Tariffs as Economic Bullying
China’s official party mouthpiece, the People’s Daily, voiced harsh criticism, stating: “Dialogue and cooperation are the only right path forward.” At the same time, the editorial warned that Beijing will not bow to pressure and will protect its legitimate interests through countermeasures. The commentary signaled a readiness for firm retaliation if the U.S. enforces what it called a “so-called final deadline.”
🔹 Tariff Discrepancies and Rising Friction
According to data, the average U.S. tariff on Chinese exports now stands at 51.1%, while China’s average tariff on U.S. goods is around 32.6%. Both countries are engaged in highly protectionist trade stances, covering virtually all categories of bilateral trade.
🔹 China Also Targets Regional Allies
China has also issued warnings to smaller Asian economies. Vietnam, for example, recently signed a deal with the U.S. that includes a 40% tariff on “rerouted” goods made in China and shipped through Vietnamese ports. In exchange, Vietnam negotiated a drop in its import duties from 46% to 20%.
Beijing stressed that it will not accept any trade deal that undermines its national interests, even if it means reduced tariffs.
#china , #TRUMP , #Tariffs , #TradeWars , #Geopolitics
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