Trump's tariff gambit ignites trade tensions with China
China has firmly opposed U.S. President Donald Trump's decision to impose 10% tariffs on imports from the People's Republic of China. Beijing announced retaliatory measures, including a complaint to the World Trade Organization.
"Trade and tariff wars have no winners" – stated a spokesperson for the Chinese Ministry of Foreign Affairs on Sunday, emphasizing that President Trump's decisions "will not solve the internal problems of the U.S. and will not benefit any party, let alone the world."
Trump imposes tariffs. China is already reacting
The White House officially cited the influx of fentanyl across the northern and southern borders of the U.S. as the reason for imposing a 10% tariff on imports from China and a 25% tariff on goods from Canada and Mexico.
Fentanyl, a synthetic opioid, contributed to the deaths of 100,000 Americans last year. The U.S. administration accuses Beijing of supplying chemical precursors used by drug cartels.
In a statement on Sunday, the Chinese Ministry of Foreign Affairs emphasized that China has "one of the strictest" approaches worldwide to combating drugs, both in terms of regulation and enforcement.
In a separate communication, the Chinese Ministry of Commerce announced plans to file a complaint with the World Trade Organization (WTO), arguing that the United States' "unilateral" imposition of tariffs "seriously violates WTO rules."
The market reacts to Trump's decision
The American Fuel & Petrochemical Manufacturers (AFPM) expressed concern over President Trump's decision to impose 10% tariffs on oil imports and energy goods from Canada and Mexico and hoped it would not last long.
"We hope to quickly find a solution with our North American neighbours so that crude oil, refinery products, and petrochemicals will be removed from the tariffs, before consumers feel the effects of these decisions," stated the AFPM Association's communication.
Mexican President Claudia Sheinbaum ordered the imposition of tariffs on Saturday in retaliation for the 25% tariffs imposed on Mexican imports by U.S. President Donald Trump. Canadian Prime Minister Justin Trudeau made a similar decision.
