The White House said China is facing up to a 245 per cent tariff on imports to the US ‘as a result of its retaliatory actions’, as the trade war between the world’s two largest economies continues to heat up.
The top potential tariff was referenced in a fact sheet published by the White House late on Tuesday. It accompanied an executive order signed by President Donald Trump that launched an investigation into the “national security risks posed by US reliance on imported processed critical minerals and their derivative products.”
A White House official told Newsweek the calculation reflects the maximum potential rate some Chinese goods could face, combining the reciprocal tariff, the fentanyl tariff, and existing Section 301 tariffs that go up to 100pc.
Electric vehicles, for example, have outstanding Section 301 tariffs of 100pc dating back to the Biden Administration, meaning these products would face a 245pc rate in total.
The US-China trade war is rattling global markets, which fear the economic fallout of the conflict and others that Trump has launched against America’s trading partners.
Cutting off Chinese imports complicates American supply chains, increasing costs and forcing businesses to source from elsewhere. Consumers also face higher prices. Trump’s strategy is to use tariffs to pull more manufacturing investment into the US.
China will next week convene an informal United Nations Security Council meeting to accuse the United States of bullying and ‘casting a shadow over the global efforts for peace and development’ by weaponising tariffs.
The move comes as Beijing pursues a hardline stance in the escalating trade war with Washington.
The note, inviting all 193 UN member states to attend the meeting on Wednesday, specifically criticises the US for imposing tariffs.
“By weaponising tariffs as a tool of extreme pressure, the US has gravely violated international trade rules, and triggered severe shocks and turbulence in the world economy and multilateral trading system.”
&uuid=(email))