China strikes back: Imposes 15% tariff on coal, gas imports from US
PTC Web Desk: The US-China trade war has escalated once again as China launched an antitrust investigation into Google and imposed fresh tariffs on American goods, just hours after former US President Donald Trump levied new duties on Chinese exports.
In a Tuesday announcement, the State Administration for Market Regulation (SAMR) confirmed an official probe into Google for alleged monopolistic practices. Meanwhile, Beijing slapped new tariffs of 15% on US coal and liquefied natural gas (LNG) and 10% on oil and agricultural equipment in direct retaliation for Washington’s latest trade measures.
China’s latest economic response to US tariffs includes export controls on tungsten-related materials, crucial for industrial and military applications. Blacklisting PVH Corp. (the parent company of Calvin Klein) and biotech firm Illumina Inc., adding them to Beijing’s unreliable entity list. The offshore yuan depreciated by 0.3%, dropping to 7.3340, as tensions between the two economies intensified.
The fallout from the dispute also affected China’s economic proxies, with the Australian dollar and New Zealand dollar dropping by at least 0.8%, reflecting broader concerns over global trade stability.
Over the weekend, US President Donald Trump ordered a blanket 10% tariff on Chinese imports, set to take effect after midnight Tuesday in the US. He cited Beijing’s alleged failure to prevent the flow of illegal drugs as a key justification for the move. The new levies also include a retaliation clause, allowing for further tariff hikes if China counteracts with its own measures, as it did with the latest round of economic sanctions.
With both sides showing no signs of backing down, the renewed trade war threatens to further disrupt global supply chains and market stability. The ongoing conflict has already led to increased volatility in commodity and currency markets, deepening concerns among investors and businesses worldwide.
- With inputs from agencies
