China Opposes Trump’s Tariffs, Warns of Further Action to Protect Economy
Dongguan: In a drab office in China’s industrial heartland, Andy Xiao frets over the future of his shoe materials business, now straining under sweeping tariffs imposed by Donald Trump.
The US president has targeted friend and foe alike since taking office a month ago, notably slapping additional 10% duties on products imported from China. The move could affect hundreds of billions of dollars in trade and may worsen if the mercurial magnate follows through on his threats of even higher customs levies.
When the Levy Breaks
In a factory complex in the city of Guangzhou, rows of staff bend over clattering sewing machines, churning out heaps of clothes for bargain-seeking American online shoppers. The workshops are among thousands to see orders surge in recent years by supplying hyper-efficient e-commerce platforms Shein and Temu, which have taken the US by storm. Those brands have built their models largely on a US policy known as the de minimis exemption, which allows goods with a value of US$800 or less to enter the country duty free.
No Trump Slump, Yet
China has stated "resolute opposition" to Trump’s fusillade of tariffs, responding with reciprocal measures and warning of further moves to protect its economic interests. Beijing is battling long-term economic problems of its own, with slowing growth adding to a debt crisis in the property sector, low consumption and high youth unemployment. The country’s southern export belt provides jobs to millions of people, many of them migrants from deprived rural areas.
Conclusion
China has strongly opposed Donald Trump’s 10% tariffs on products, warning of further actions to protect its economy. The country is battling long-term economic problems of its own, and the tariffs could affect hundreds of billions of dollars in trade. While some suppliers have migrated operations to Southeast Asia, others are resisting the trend, citing unforeseen challenges like getting paid for shipments on time.
Frequently Asked Questions
Q: What is the impact of the 10% tariffs on China’s economy?
A: The tariffs could affect hundreds of billions of dollars in trade and may worsen if the US follows through on its threats of higher customs levies.
Q: How have Chinese suppliers responded to the tariffs?
A: Some suppliers have migrated operations to Southeast Asia, while others are resisting the trend, citing unforeseen challenges like getting paid for shipments on time.
Q: What is China’s stance on the tariffs?
A: China has stated "resolute opposition" to the tariffs, responding with reciprocal measures and warning of further moves to protect its economic interests.