China’s Customs Tariff Commission of the State Council announced on September 18 that China will take retaliatory tariff action against USD 60 billion worth of US made goods less than 24 hours after President Donald Trump decided to impose tariff on USD 200 billion of Chinese goods. Based on the Foreign Trade Law of the People’s Republic of China and the Regulations of the People’s Republic of China on Import and Export Duties and approved by the State Council, the Customs Tariff Commission of the State Council has decided to impose additional duty of 10% or 5% on products originating in the US under 5,207 taxable items. The policy will take effect at 12:01 PM on September 24. If the US insists to further raise the tariff rate, China will give corresponding response.
Chinese government expressed that the trade tension between two countries has been continuously escalating due to the US government’s arbitrarily action. To defense trade freedom and multilateral system and safeguard its legitimate rights and interests, China will have to retaliate as a response.
The US government claimed on July 11 that it will impose 10% tariff on USD 200 billion worth of goods imported from China. Then, the tariff rate was elevated to 25% on August 2. On September 18, Trump’s administration announced the decision to impose 10% import tariff on USD 200 billion worth of made-in-China products, which will come into effect from September 24. Besides, the 10% tariff rate will be increased to 25% from January 1, 2019.
Source : STRATEGIC RESEARCH INSTITUTE, STEELGURU
Yaang Pipe Industry Co., Limited (www.yaang.com)