The new trade war between Beijing and the US is escalating with new tariffs and market tensions, keeping shipping industry stakeholders on tenterhooks.
China has responded to Trump’s decision to proceed with 10% levies on all Chinese imports a few hours ago with a series of targeted commercial countermeasures. US-made coal and Liquefied Natural Gas (LNG) will be hit with a 15% tariff; while crude oil, agricultural equipment and large cars will be taxed with 10% levies. The new levies will come into force on 10th February.
The escalation of the trade war has also led China to launch an antitrust probe on Google, and to place the US biotech company Illumina and Pvh Corp, that controls the Calvin Klein and Tommy Hilfiger clothing brands, on the ‘undesirable’ list. Basically, these companies will no longer be allowed to trade with China.
The Chinese move comes on the day that Trump announced the one-month suspension of 25% duties on imports from Mexico and Canada: a kind concession by the new US president in return for the two countries’ willingness to tighten security at their respective borders with the US.
Translation by Giles Foster
