China is preparing countermeasures against fresh U.S. import tariffs set to take effect on Tuesday, China's state-backed Global Times reported, with American agricultural exports likely in Beijing's cross hairs.
U.S. President Donald Trump last week threatened China with the extra 10% duty, resulting in a cumulative 20% tariff, while accusing Beijing of not having done enough to halt the flow of fentanyl into America, which China said was tantamount to "blackmail."
"China is studying and formulating relevant countermeasures in response to the U.S. threat of imposing an additional 10% tariff on Chinese products under the pretext of fentanyl," Global Times reported on Monday, citing an anonymous source.
"The countermeasures will likely include both tariffs and a series of non-tariff measures, and U.S. agricultural and food products will most likely be listed," the report added.
The U.S. has long been vulnerable to China using its agricultural exports as a punching bag in times of trade tensions.
China remains the biggest market for U.S. agriculture products despite a decline in imports since 2018 after Beijing slapped tariffs of up to 25% on soybeans, beef, pork, wheat, corn and sorghum in retaliation for duties on Chinese goods imposed by Trump.
The world's top agricultural importer and second-largest economy brought in $29.25 billion worth of U.S agriculture products in 2024, a 14% drop from a year earlier, extending a 20% decline seen in 2023.
Global Times, which is owned by the newspaper of the governing Communist Party, People's Daily, was first to report the steps China planned to take in response to the European Union slapping tariffs on Chinese electric vehicles last year.
Trump's announcement left Beijing with less than a week to come up with countermeasures or strike a deal. The proposed extra levies also coincide with the start to China's annual meeting of parliament, a political set piece event at which Beijing is expected to roll out its 2025 economic priorities.
Analysts say Beijing still hopes to negotiate a truce with the Trump administration, but with no signs of any trade talks yet the prospect of a rapprochement between the two economic giants is fading.
"A China-U.S. trade war is not inevitable, but Trump's decision to impose tariffs now is a bad decision," said Wang Dong, executive director of the Institute for Global Cooperation and Understanding at Peking University.
"Trump and his advisors may think that imposing tariffs at this time is to put pressure on China, sending a signal, but this will backfire and China will inevitably respond strongly."
© Thomson Reuters 2025.
58 Comments
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HopeSpringsEternal
China has no trade leverage as they're the ones with the trade surplus at growing risk!
Laguna
It was pretty obvious that this would happen. Pretty much the only thing China imports from the US is agricultural products. It's a huge market, but China has other sources such as Australia and India. Not to say that it won't have an impact, but China can punch pack. Whether that is wise is a different story.
deanzaZZR
Having learned something from Trump 1.0 in order to prepare for a possible Trump 2.0 China's largest trading partners today are ASEAN followed by the EU. Checkers, chess, Weiqi reference insert here.
Ricky Kaminski13
China has been stockpiling massive amounts of grain, rice and soy for years now. Bring it on Beijing.
Desert Tortoise
Nope. Oilseeds and grain are the top export but not the only heavy hitter. The number 2 export are semiconductors. Number 3 is oil and gas. China buys both refined and unrefined oil products and an increasing volume of LNG from the Gulf Coast. Number 4 are pharmaceuticals. Number 5 are basic chemicals.
Total US exports are around $150 Billion. Oilseeds and grains are about $25 Billion of that. The next three each account for about $11 Billion.
Desert Tortoise
China could screw the US hard by refusing to buy Boeing jets and forcing Boeing to leave their final assembly facility in Zhoushan.
Wasabi
Every country on earth, beside Russia, will black list the US market. The US first will become the US only!
Do you feel great now?
HopeSpringsEternal
China's going thru massive property bubble and demographic collapse, Japan 2.0, they NEED trade more than ever, hence the CPP panic
Wasabi
HopeSpringsEternal
The American people are panicking right now; not China. They have many others options to choose from, not like the American people that must live with the shame during 4 years!
Peter Neil
china and other countries have plenty of leverage. china can stop shipment of titanium. it produces more than the entire rest of the world combined. try building planes without titanium, let alone engines and other mechanical parts.
if trump tries to carves out tariffs on potash from canada, canada can raise the price of it by 25% anyway and use it offset loses in other goods. what is it, 90% of u.s. potash comes from canada?
farmers have no choice. spring is close and without it, crop yield drops off a cliff. you think eggs are bad now, try supermarkets looking like the soviet union of old - bare shelves.
Peter Neil
not without fertilizer you don’t. think about it.
WA4TKG
china is going to do absolutely NOTHING to stop the Fentanyl, not any more than Husain did to stop Capticom flowing throughout the Middle East.
Who do you think sells the chemicals in BULK to ANYONE that has the money
American addicts are china’s bread and butter
They want all the addicts they can get, and at the same time,
the flush continues for the US.
Wasabi
Once you alienate ex-friendly country the US will be left with Russia to make any business. US-Russia, the new axis of evil (include North Korea for a full membership).
K3PO
Complete nonsense.
HopeSpringsEternal
Afraid China's a full-blown economic dumpster fire now, nobody having kids, everyone saving, because nobody believes in future etc. America exact opposite, optimism and confidence much higher now than pre-Nov 5th.
Xi and CCP need US markets not vice-versa, DJT is causing massive capital flight out of China etc.
Deo Gratias
No they won't. Not if they know what's good for them.
If they blacklist the US market, the US will blacklist theirs.
And the US will easily win that standoff.
That's one of the advantages of ... well, having the advantage.
deanzaZZR
Just curious, how do you square your statement with Trump saying that he wants a good relationship with China and invites Chinese investment in the USA.
Wasabi
It is the normal reaction to a bully like trump.
Wasabi
deanzaZZR
Nothing make sense when it come to trump.
Amber
Bwahaha!! Some Americans basking their own inflated sense of superiority. The rest of the world (except Russia, I guess) can do just fine without the US. Maybe better, actually, when I come to think of it.
patkim
I still don't get Trump's obsession with tariffs. Either the importer on the U.S. side will bear the brunt of the cost, or they will pass it on to the consumer. In the end, someone on the U.S. end has to pay more. Yes, maybe a smaller economy like Mexico and Canada could be hurt, but China is the one country that could go toe-to-toe with the U.S. China has way more trade with other countries outside of the U.S. It also can take away some of the trade partners that the U.S. used to have after Trump's alienation with other countries. Other countries that now don't trust business with the U.S. because of Trump's allegiance to Putin, would be more than willing to do business with a more friendly deal with China.
Peter14
The world needs a leader. Someone stable, democratic and well respected around the globe. Sadly the nation most often looked to as world leader is unable and unwilling to lead.
IF the EU can unify and bring cohesion they may be the only viable option available. A long shot at best as the EU nations love to bicker and jostle for position with Europe.
There seems no logical successor to the number one economy, number one military and that is the scary realization. It is going to become a madhouse and that could mean a succession of conflicts all around the world, for resources, power and wealth.
Going from a stable world order with rules and guidelines to one of anarchy, butchery and destruction, seemingly more likely to happen.
Batten down the hatches and get yourself ready to flee and or fight. Its going to find you no matter where you go.
I'veSeenFootage
Oh great, Trump is going to have to bail out the farmers because of his own policies again. 16 completely avoidable billions last time, and how much now? Can't wait to find out.
bass4funk
They have them.
Each country has its leader, we don’t need one world leader, this is the reason why we have these conflicts, everyone for themselves and we can on occasion work together, but there is no one leader, no need
Not so sure about that, Europe will have to match the U.S. military defense budget and make itself as powerful as the U.S. and Europe is and will never do that. They will never get rid of their entitlement culture
Money rules everything, always has and always will.
Then Europe needs to get leaders that will put their people and their self-interests first
I'veSeenFootage
You don't know anything about Europe, do you?
deanzaZZR
@Peter14 Your worship at the Lincoln Memorial is both admirable and confusing
Give me multipolarity any day. Lift up the Global Majority.
TaiwanIsNotChina
You never did see Star Trek did you? Starfleet had ship names beginning with USS, which must assume was for United States Ship. Our power increases when others look to us for leadership.
If they did manage to do that, the US would be out on its rear and rightly so.
Neither will Japan. And you will not be touching the entitlement culture in the US, no matter how much you jump up and down.
If that were true China would be the most powerful country in the world.
They will, but Trump's US = out on rear.
bass4funk
Then why don’t they cut themselves off from the U.S.? Why won’t they?
I think so as well, but they won’t. European banks rely on U.S. dollar funding, especially for global trade and investment. The U.S. Federal Reserve has provided dollar liquidity to European banks in times of crisis (e.g., 2008 financial crisis, COVID-19 pandemic).
Many European companies raise capital in U.S. stock markets, and Wall Street plays a major role in global finance.
bass4funk
On the contrary
TaiwanIsNotChina
Well yes, you would love for China to be a pole. It will always be a middle income pole, though.
Peter14
deanzaZZRToday 04:56 pm JST
Sorry but never been there and I am not the type to worship.
Multi polarity simply condemns half the people to be forced to live under evil leaders and get little to no say in their own country. I prefer the free world with Democracy, rules and order being the glue that ensures respect and freedom are the goals of all, for all.
bass4funk
Every single show, movie.
Japan is not China, focus
Not really, we have more patents than they do, we create and innovate things, China copies them
So who then,
Anyway, that’s all that counts for us, and Europe can’t change that.
itsonlyrocknroll
The government of China will never play or conform to a rules based, treaty agreement international law.
The manner, even the most basic human rights are simply ignored.
Hong Kong, Taiwan, any sense of criticism, the refusal to offer any assistance to cooperate in the search for the cause of a pandemic, that took the lives of millions.
The Government of China has a evidence based proven history of weaponizing controls, to influence pricing, financing, purchase of trade imports, to steal/target key industrial domination.
To insist on technology transfer, to offer market access.
The theft of intellectual property, from companies, product development research.
President Trump/JD Vance, like them or otherwise, must pursue a full implementation of tariffs, also quotas, every sector.
Amber
bass4funkToday 04:56 pm JST
Then why don’t they cut themselves off from the U.S.? Why won’t they?
Unfortunately, I do agree with you on this. The US was a reliable partner and ally that could be trusted until now; that is definitely no longer the case, and I do hope the EU doesn't miss this opportunity to indeed distance itself from the US..
deanzaZZR
Apparently you missed the $1 billion dumped into the Harris campaign. You also apparently missed Musk dumping tens of millions of dollars every day into the Trump campaign. Of all, for all. oops
bass4funk
Cash cow, yes, we were
What a relief
I wish that as well, but it won’t happen
Blacklabel
yes please!
pay for your own proxy wars and fund your own security guarantees for your own neighbors.
HopeSpringsEternal
DJT can't help Xi and CCP, can only help themselves by permitting more US investment, as reciprocal tariffs will greatly reduce bi-lateral trade, especially as multinational corps continue to reduce China based supply chain exposure.
Amber
bass4funkToday 05:36 pm JST
I wish that as well, but it won’t happen
I sure hope it does, so Europe can move away from American defense contractors (NATO countries are the main buyers, by the way) and shift the business to European manufacturers. They could eliminate Boeing and exclusively purchase from Airbus – that would be an easy choice. Sounds to me like Europe has been a cash cow as well.
HopeSpringsEternal
Europe and Asia are already largely in a recession, though nobody will say so of course. Meanwhile massive pools of capital moving into US from abroad, for lower regulations, taxes, cheaper energy and talented workers.
Trump tariffs working, as you can't ignore +25% of the world's economy with +60% of global stock market capitalization, best technology and energy abundance.
bass4funk
Again, they could, but Boeing being the workhorse it is, I don’t see that happening.
Then cut everything off, why they don’t?
Blacklabel
Yeah all this talk about what they could do, but no actual doing. Why is that?
Ah_so
It tends to be both - the exporter has a drop in demand and sells less at a slightly lower price, and the end consumer pays a higher price.
Basically, everyone loses with trade barriers which is why the world has been moving to freer trade over the decades.
Ah_so
Because trade wars are stupid and the best way to promote increased wealth and prosperity for all is to promote free trade.
HopeSpringsEternal
But free trade must be 'fair' trade, hence reciprocal tariffs, otherwise why trade? Unfair trading partners can pay up to gain market access, because they're not providing market equal access to their markets.
HopeSpringsEternal
Something tells me DJT and his economic team of billionaires knows a thing or two about trade and business. Not typical Govt. types collecting paychecks.
DJT reciprocal tariffs will be a huge windfall for US Govt. and/or spur lower tariffs abroad for US business to gain entry and reshoring of production to US, generating jobs, investment and taxes. DJT = Common Sense!
NOMINATION
So you are the usual hate the President so I hate the entire country type. I see!
1glenn
During Trump 1.0, China cut back on agricultural imports from the US and encouraged imports from Brazil. This had the unfortunate side effect of encouraging the cutting down of large parts of the Amazon rain forest. For a few years the land in Brazil was productive, but then the thin top soil was used up, and the world is left without parts of the rain forest, and a growing desert.
I do wish Trump would go back under the rock he crawled out from.
wallace
Tariffs are paid by the importing company or customers of the importing companies. In other words, American companies and American customers.
Agent_Neo
To put it in extreme terms, the United States is a country that can meet all of its needs domestically, but that is not the case for China.
China has long since become an importing country, both in terms of food and energy.
It is clear that this will be a battle that China will find difficult.
HopeSpringsEternal
Trump had high tariffs on China in 1.0 and very low inflation, over 3x lower than Biden Admin inflation.
Trump's going to MAGA by making trade partners either open up their markets with lower tariffs to match US tariffs, invest in America to produce, or PAY UP!
Most risk, EU and China, firmly in DJT Tariff 'Cross-hairs'
Bob Fosse
Why does your hero manufacture all the crappy goods he shills to his maga base in China?
Can you answer that simple question?
bass4funk
I’m talking about the nation, not one person, but, being the best at copying, I definitely give them props on that!
Deo Gratias
To think that Trump hasn't already considered this is silly.
Speaking of tariffs:
From the article: "Honda has decided to produce its next-generation Civic hybrid in the U.S. state of Indiana, instead of Mexico, to avoid potential tariffs on one of its top-selling car models, according to three people familiar with the matter."
https://www.newsmax.com/finance/streettalk/honda-tariffs-indiana/2025/03/03/id/1201092/?fbclid=IwZXh0bgNhZW0CMTEAAR3ltshbxQ4E3EIMCd9nzs-EEm9APXEBxzcRH_S82HLs42gUlyCQ1aZxnNk_aem_XYr4cTr27G-w54KznbcGBg
Yet another reason for the tariffs -- to get overseas companies to open up shop in America, to produce goods in America, and (naturally) to create jobs in America.
Another W for Trump.
Amber
bass4funkToday 06:29 pm JST
Again, they could, but Boeing being the workhorse it is, I don’t see that happening.
The workhorse that keeps falling from the sky?
I'veSeenFootage
This is not a valid news source.
kaimycahl
LOL China agriculture is trashed. The people will not eat anything the farmers grow, its full of chemicals. China has the highest cancer rate in the world go figure. From vegetables, to baby formula with saw dust in it to sanitary napkins with roach larvae and rat poop everything is tainted. This is why the Chinese tourist when they arrive in Japan empty suit cases they raid the stores and clean them out. The people don't trust each other, its corrupt on all phase of life.
Peter Neil
“ Yet another reason for the tariffs -- to get overseas companies to open up shop in America, to produce goods in America, and (naturally) to create jobs in America.”
i know this may be too deep for some people, but try to follow. producing goods in america will increase prices. increase in prices causes something called “inflation.”