China retaliates against U.S. tariffs with countermeasures

SOURCE www.npr.org
China retaliates against the Trump administration's tariffs with countermeasures including tariffs on American coal, LNG, crude oil, farm equipment, and vehicles. They also announce an anti-monopoly investigation into Google and export controls on rare metals. The escalating trade war may have deeper economic and political implications.

Key Points

  • China imposes 15% tariffs on American coal and LNG, and 10% tariffs on crude oil, farm equipment, and certain vehicles
  • Announces anti-monopoly investigation into Google and export controls on rare metals
  • Trump administration's tariffs aimed at pressuring China, Canada, and Mexico to address issues like migrant flow and illegal drugs

Pros

  • Sending a message to the U.S. without causing significant damage
  • Calibrated retaliation to protect Chinese interests

Cons

  • Risk of escalating tariffs further
  • Challenges in de-escalating the trade standoff