China firmly opposes U.S. tariff proposals, countermeasures underway

sxcoal.com General,  Policy 2018-04-04 16:57:00

On April 3 EDT, the United States administration announced a proposed list of products subject to additional tariffs that covers about 1,300 Chinese exports worth $50 billion with a suggested tariff rate of 25%.

 

"Disregarding strong representations by China, US announced the tariff proposals that are completely unfounded," according to a spokesperson from the Ministry of Commerce (MOC) of China on April 4.

 

"(It's) a typical unilateralist and protectionist practice that China strongly condemns and firmly opposes."

 

The move not only goes against the interests of China, it also shoots the Unites States itself in foot.

 

It's well known that the US trade deficit stems from that the US investment rate is higher than the savings rate, resulting in capital surplus and trade deficit. Therefore, Trump's protectionist policies have done little and aren't the antidotes against the disease.

 

Experts say Trump's "headstrong" moves will not only make it difficult to reduce the deficit, but will also undermine the original trade stability.

 

Secondly, the tariff policy would undoubtedly push up prices for related goods and cause higher inflation at home. In fact, it taxed on American consumers themselves.

 

Not long ago, 25 well-known American retailers, including WAL-MART, Messi and BestBuy, sent a joint letter to Present Trump calling on the government not to impose tariffs on Chinese imports, so as not to damage the interests of American consumers, especially the wage earners, and to widen the gap between the rich and the poor.

 

Thirdly, it would hurt US's employment. Ironically, one of purposes Trump's tariff policy is to create jobs.

 

According to a research from American Global Market Services, Trump's tariff policy on steel and aluminum would protect US steel and aluminum jobs, but it would hit the downstream industries, which was equivalent to "losing at least five other jobs for one."

 

China will take targeted reciprocal measures against US imports, which may include slapping tariffs on US agricultural products, airplanes, automobiles and computer chips, said Wei Jianguo, a former minister of MOC.

 

Wei, also vice-president of the China Center for International Economic Exchanges, added the reciprocal measures will be "at the same level and the same scale", compared with what the US side proposed.

 

Tourism and other industries are also being taken into consideration, he said.

 

(Writing by Alex Guo  Editing by Harry Huo)
For any questions, please contact us by inqury@fwenergy.com or +86-351-7219322.

Share this article
Connect with us

Editors Recommendations

1 China Nov power coal price index hits six-mth low 2018-12-14

China's monthly-issued price index of power coal edged down 0.65% month on month to 520.09 yuan/t in November, reaching a six-month low, showed data from the National Development and Reform Commission

2 China steel futures prices extend gains as two cities order more curbs 2018-12-14

Shanghai steel prices rose for a third day in a row on December 14 after China's major steelmaking cities of Tangshan and Xuzhou asked mills to curtail output, amid concerns they will not meet their p

3 China fixed-asset investment up 5.9% in Jan-Nov 2018-12-14

China's fixed-asset investment (FAI) grew 5.9% year on year in the first 11 months of this year, according to the National Bureau of Statistics (NBS) on December 14.

4 China Coal Daily Track (Dec 14) 2018-12-14

Thermal coal Domestic market Production area In Shaanxi's Yulin, some coal miners reported sales pressures remained even after cutting prices. Small-sized miners in Shenmu and Fugu

5 China Nov crude steel output hits 7-mth low on plunging profit and winter curbs 2018-12-14

China's crude steel output fell to its lowest in seven months in November, data from the National Bureau of Statistics showed on December 14, impacted by shrinking margins in the sector and winter res

6 Bearish sentiment rises in Chinese coal market amid traders' fire sales 2018-12-14

Chinese spot thermal coal market clouded over with growing pessimistic mood after traders started clearing out their cargoes at ports along the Yangtze River. On December 13, CCI index fo

7 China Nov coke output rises 1.9% on yr, NBS 2018-12-14

China churned out 35.41 million tonnes of coke in November, increasing by 1.9% from a year earlier, showed data from the National Bureau of Statistics (NBS) on December 14. The volume was

8 Indonesian low-CV coal price firms up, yet upward space limited 2018-12-14

Both offer and settlement prices firmed up for Indonesian thermal coal with low calorific value in China's import market, following several days' rises that ended a prolonged weakening. Y

9 China Nov power output rises 4pct MoM amid improved demand 2018-12-14

China's power output ramped up 4% month on month in November, official data showed, thanks to rising heating demand from residential sector as temperature fell in the winter heating season.

10 World's energy consumption structure quartering by 2040 2018-12-14

Coal, oil, gas and renewable energy forms may take up 25% each by year 2040, a conclusion made jointly by International Energy Agency, Organization of Petroleum Exporting Countries, and International

Most Read Articles

1 Cold front hitting China's south & east – but coal traders may love it 2018-12-07

A strong cold front not only brings the first snowfall of this year to some northern cities, it also causes sharp temperature drop in the south. The National Meteorological

2 China coking coal rallies to 15-month high amid tighter supply 2018-12-07

Chinese coking coal futures jumped to their highest in nearly 15 months on December 7, supported by tighter supply amid safety checks at coal mines, while coke surged nearly 6% to a five-week high.

3 Weekly global coal market news summary (Dec 3- Dec 7) 2018-12-07

Indonesia's Dec HBA thermal coal price dips for 4th mth to $92.51/t Indonesia's Ministry of Energy and Mineral Resources has set its December thermal coal reference price, also known as Harga

4 Tangshan grapples with emissions discharged by steel mills 2018-12-07

Sintering machines and pelletizing devices equipped in steel mills in Tangshan city in northern China's Hebei province will be asked to suspend production for rectification till December 31, if they f

5 Shanghai steel rebar futures set for best week in 5 mths on glut concerns 2018-12-07

China's steel rebar dropped nearly 2% on December 7, but is poised for its best week in nearly five months, reflecting persistent concerns over surplus supply amid high utilisation rates at steel mill

6 Shanxi approves trial run of 6 coal mines with 16.4 Mtpa capacity 2018-12-07

Shanxi Energy Administration has approved 2 mines' requests of expanding previous planed trail run period and 4's proposals of starting trail run since November. The 6 coal mines with combined designe

7 A review of 1st Coking Coal Market Analysis & Blending Technology Application Summit 2018-12-03

The 1st Coking Coal Market Analysis & Blending Technology Application Summit co-hosted by Shandong Coking Industry Association and Fenwei Energy Information Services Co., Ltd. wrapped up successfu

8 China Coke Market Analysis and Forecast (Dec 2018) 2018-12-06

Despite strong support from coking coal prices, China's metallurgical coke market was badly hammered in November by steel price nosedive. In November, the market has experienced

9 China Nov coal import extends decline for 4th mth; down 17% on mth 2018-12-08

China imported 19.15 million tonnes of coal in November this year, down 17% from the previous month, showed the latest data released by the General Administration of Customs on December 8.

10 China spot thermal coal market may trend down further 2018-12-04

China's spot thermal coal market is forecast to further trend down in the high demand winter season, but the downside space could be limited, as downstream utilities have low demand for spot coal afte

Scan to download sxcoal.com mobile APP

X