Firm, the New US Trade Tariff is Opposed by China
JAKARTA - The Chinese government firmly opposes the implementation of new trade tariffs imposed by the United States government.
"China's position on the China-US economic and trade issues is consistent and clear. We oppose all forms of unilateral tariffs," said Chinese Foreign Ministry spokesman Lin Jian at a press conference in Beijing, Friday.
The United States (US) will begin imposing new tariffs of 10 to 12.5 percent on imports from 60 major trading partners, including China, Japan, and the European Union, starting Friday (24/7).
The US government stated that the policy was taken because the countries were considered not to be sufficiently strict in prohibiting the import of goods produced using forced labor.
"Tariff wars and trade wars are not beneficial to anyone," Lin Jian said.
However, Lin Jian did not reveal whether China would take retaliatory measures related to the implementation of the new trade tariffs.
The announcement of the new US trade tariffs came a day before the global 10 percent tariffs imposed by President Donald Trump in February expired.
The temporary tariffs were imposed after the US Supreme Court overturned a reciprocal tariffs policy previously imposed on a number of countries, including fentanyl-related levies on products from China, Canada, and Mexico.
According to the US Trade Representative's Office, the countries targeted by the new tariffs account for about 99 percent of total US imports.
Unlike US allies, China does not receive special treatment so that a new tariff of 12.5 percent will be added to the existing import duties.
In addition to China, Japan, and the European Union, the tariffs also apply to Australia, Indonesia, the Philippines, Switzerland, Taiwan, and Thailand. The amount of the tariff is determined based on the level of alleged use of forced labor based on the US government's assessment.
Although most partner countries will be subject to a 12.5 percent tariff, about 20 countries, including the United Kingdom, Indonesia, Malaysia, and Mexico, will only be subject to a 10 percent tariff because they have taken stronger legal measures to prevent the import of goods allegedly produced through forced labor.
In the Asian region, the United States imposed higher tariffs on Japan and South Korea. However, goods from both countries that have been subject to tariffs of 12.5 percent or more will be exempt from these additional tariffs.
In addition, the new tariff also does not apply to products that have been subject to sectoral tariffs, such as cars and steel, which Trump had previously imposed on national security grounds.
The Trump administration initiated a trade investigation because it considered that many of the US trading partners were cutting costs by using forced labor. Washington is also investigating practices considered unfair regarding excess industrial capacity in 16 economies, including China, India, Japan, Vietnam, and the European Union.