China warns new US tariffs to ‘severely’ impact relations: Report

Beijing, on Tuesday, warned that the imposition of new US tariffs on $18 billion worth of imports from the country could have a ‘severe impact’ on the relationship between US and China.

Written By Vaamanaa Sethi
First Published14 May 2024
USA and China
USA and China

Beijing, on Tuesday, warned that the imposition of new US tariffs on $18 billion worth of imports from the country could have a "severe impact" on the relationship between  US and China, as per a report by news agency AFP.

“This will severely affect the atmosphere for bilateral cooperation,” China's commerce ministry was quoted as saying by AFP.

Beijing urged the US to "promptly correct its erroneous actions and revoke the additional tariff measures imposed on China."

Also read: Top China, South Korea Diplomats Hold Rare Talks in Beijing

On Tuesday, the White House announced a tariff hike on $18 billion worth of imports from China, targeting key sectors such as electric vehicles, batteries, steel, and vital minerals.

This decision coincides with President Joe Biden's preparation for the upcoming November election, where he is expected to face Republican rival Donald Trump again. Administration officials criticized Trump's trade policies as they unveiled the tariff increase.

The tariff rate for electric vehicles is scheduled to increase fourfold to 100 percent this year, while the rate for semiconductors will rise from 25 percent to 50 percent by next year, according to the White House.

This action comes after a reassessment of tariffs implemented amid a trade dispute between Washington and Beijing, during which former President Trump imposed levies on approximately $300 billion worth of Chinese goods.

The so-called Section 301 investigation served as the principal basis for the tariffs under the Trump administration, and the US Trade Representative is obligated to assess the impact of these levies every four years.

Also read: China to Hold Meeting on $138 Billion Ultra-Long Debt Sale

In response to the announcement, Beijing expressed strong opposition, issuing stern objections. It accused Washington of politicizing and manipulating economic and trade matters, labeling it as a classic instance of political manipulation.

“China expresses its strong dissatisfaction with this. China will take resolute measures to defend its own rights and interests,” the commerce ministry said. The statement emphasized that the 301 tariffs are not aligned with the consensus reached by the two heads of state, alluding to a meeting between Presidents Xi Jinping and Biden last year.

 

 

Catch all the Business News, Market News, Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.MoreLess
HomeNewsworldChina warns new US tariffs to ‘severely’ impact relations: Report

Most Active Stocks

Bharat Electronics

300.95
10:29 AM | 13 JUN 2024
10.4 (3.58%)

Tata Steel

182.50
10:29 AM | 13 JUN 2024
0.25 (0.14%)

GAIL India

219.75
10:28 AM | 13 JUN 2024
2.8 (1.29%)

Zee Entertainment Enterprises

164.95
10:22 AM | 13 JUN 2024
-1.9 (-1.14%)
More Active Stocks

Market Snapshot

  • Top Gainers
  • Top Losers
  • 52 Week High

Usha Martin

414.40
10:23 AM | 13 JUN 2024
36.25 (9.59%)

Aegis Logis

839.60
10:26 AM | 13 JUN 2024
73.15 (9.54%)

Elgi Equipments

655.00
09:59 AM | 13 JUN 2024
51.25 (8.49%)

Praj Industries

685.85
10:20 AM | 13 JUN 2024
51.55 (8.13%)
More from Top Gainers

Recommended For You

    More Recommendations

    Gold Prices

    • 24K
    • 22K
    Bangalore
    73,441.000.00
    Chennai
    73,370.000.00
    Delhi
    73,155.000.00
    Kolkata
    72,797.000.00

    Fuel Price

    • Petrol
    • Diesel
    Bangalore
    99.84/L0.00
    Chennai
    100.75/L0.00
    Kolkata
    103.94/L0.00
    New Delhi
    94.72/L0.00
    OPEN IN APP
    HomeMarketsPremiumInstant LoanGet App