In response to President Donald Trump’s newly imposed tariffs on Chinese imports, China has announced a fresh round of countermeasures, placing tariffs of up to 15% on key U.S. exports, including coal, liquefied natural gas (LNG), crude oil, agricultural machinery, and large-engine vehicles.
The retaliatory tariffs, set to take effect next Monday, mark a significant escalation in the U.S.-China trade standoff.
China’s State Council Tariff Commission condemned the U.S. measures, stating they represent a “serious violation of World Trade Organization (WTO) rules.”
“The U.S.’s unilateral tariff increase seriously violates the rules of the World Trade Organization. It is not only unhelpful in solving its own problems, but also damages normal economic and trade cooperation between China and the U.S.,” the commission said.
Breakdown of China’s Tariffs on U.S. Goods
- 15% tariff on coal and liquefied natural gas (LNG)
- 10% tariff on crude oil, agricultural machinery, and large-engine vehicles
While these tariffs target U.S. energy and manufacturing sectors, their overall impact may be limited due to China’s relatively low dependence on American imports in these areas.
Despite being the world’s largest LNG exporter, the U.S. ships only a small percentage of its natural gas to China. In 2023, about 2.3% of total U.S. natural gas exports—or 173,247 million cubic feet—were sent to China, according to the U.S. Energy Information Administration (EIA).
Similarly, China imports relatively few American-made cars. Of the 700,000 vehicles imported by China last year, most came from Europe and Japan rather than the U.S.
Bill Russo, founder of Automobility Limited in Shanghai, told the AP that tariffs on American vehicles are unlikely to significantly affect China’s auto market.
China Launches Antitrust Investigation into Google
In a major development, China’s State Administration for Market Regulation (SAMR) announced an antitrust investigation into Google on Tuesday, just minutes after Trump’s 10% tariffs on Chinese imports took effect.
While the announcement did not explicitly mention the tariffs, the timing suggests a possible retaliatory move against the U.S. tech giant.
Google has long faced difficulties operating in China due to strict regulations. While it does not offer its search engine in the country, it licenses the Android operating system to Chinese smartphone makers.
Industry experts note that Chinese smartphone manufacturers have raised concerns about Google’s business practices, particularly regarding restrictions on third-party app stores and pre-installed services on Android devices. The probe could lead to regulatory actions affecting Google’s relationships with major Chinese manufacturers like Huawei, Xiaomi, and Oppo.
With China now targeting both U.S. exports and a major American tech company, tensions between the two economic superpowers continue to rise. While diplomatic channels remain open, Beijing’s latest actions indicate a more assertive stance in the ongoing trade war.
