China Respond US Tariff With Joint Action

Chinese State Council Imposes 34% Tariff on All US Imports, SAMR, Customs, and Commerce department....

About two hours earlier, various Chinese government departments issued their coordinated response to the US tariffs. The following are countermeasures already introduced by China; there may be more policies, I will make sure to keep this updated

1. Since the U.S. issued tariffs targeting almost all global trading partners, China has decided to impose an additional 34 percent tariff on all imports from the United States. The State Council Customs Tariff Commission says the new rates will apply next Thursday.

On April 2, 2025, the U.S. government announced "reciprocal tariffs" on Chinese goods imported to the United States. The U.S. approach violates international trade rules, seriously damages China's legitimate rights and interests, and represents typical unilateral bullying.

According to the "Customs Law of the People's Republic of China," the "Foreign Trade Law of the People's Republic of China," and other laws, regulations, and basic principles of international law, with the approval of the State Council, additional tariffs will be imposed on imported goods originating from the United States starting from 12:01 PM on April 10, 2025. The relevant matters are as follows:

1. A 34% additional tariff will be imposed on all imported goods originating from the United States, on top of the currently applicable tariff rates.

2. The current bonded and tariff reduction/exemption policies remain unchanged; the additional tariffs imposed this time will not be reduced or exempted.

3. For goods that have departed from their place of shipment before 12:01 PM on April 10, 2025, and are imported between 12:01 PM on April 10, 2025, and midnight on May 13, 2025, the additional tariffs specified in this announcement will not be imposed.

State Council also noted that:

The Chinese side urges the U.S. side to immediately cancel unilateral tariff measures and resolve trade differences through consultation in an equal, respectful, and reciprocal manner.

Regarding Trump's tariffs, China's Ministry of Commerce has also filed a lawsuit under the WTO dispute resolution mechanism

The U.S. imposition of so-called "reciprocal tariffs" seriously violates WTO rules, severely damages the legitimate rights and interests of WTO members, seriously undermines the rules-based multilateral trading system and international economic and trade order, and is a typical unilateral bullying practice that endangers the stability of the global economic and trade order. China firmly opposes this.

China has always been a firm defender of the international economic and trade order and a firm supporter of the multilateral trading system. We urge the U.S. to immediately correct its wrong practices and cancel unilateral tariff measures.

2. Meanwhile, China’s commerce ministry has listed 11 U.S. companies as unreliable entities and banned them from foreign trade and investment in China.

Official Readout:

In recent years, 11 companies including Skydio and BRINC Drones have engaged in so-called military technical cooperation with Taiwan despite China's strong opposition, seriously harming China's national sovereignty, security, and development interests. In accordance with the "Foreign Trade Law of the People's Republic of China," the "National Security Law of the People's Republic of China," the "Anti-Foreign Sanctions Law of the People's Republic of China," and other laws, and based on Article 2 of the "Provisions on the Unreliable Entity List," China will legally hold them accountable for their unlawful actions.

China has always been prudent in handling the Unreliable Entity List, only legally targeting a very small number of foreign entities that endanger our national security. Law-abiding foreign entities have no need for concern. The Chinese government continues to welcome enterprises from all countries to invest and do business in China, and is committed to providing a stable, fair, and predictable business environment for compliant foreign-invested enterprises operating in China.

Those companies include

1. Skydio Inc.

2. BRINC Drones,Inc.

3. Red Six Solutions

4. SYNEXXUS,Inc.

5. Firestorm Labs,Inc.

6. Kratos Unmanned Aerial Systems,Inc.

7. HavocAI

8. Neros Technologies

9. Domo Tactical Communications

10. Rapid Flight LLC

11. Rapid Flight LLC

3. The ministry also put 16 other U.S. entities on its export control list.

Official Readout：

In order to safeguard national security and interests, and to fulfill international obligations such as non-proliferation, in accordance with the provisions of the "Export Control Law of the People's Republic of China," the "Regulations on Export Control of Dual-Use Items of the People's Republic of China," and other relevant laws and regulations, the Ministry of Commerce has issued an announcement deciding to add 16 U.S. entities to the export control list, prohibiting the export of dual-use items to these entities. These entities have engaged in activities that may endanger China's national security and interests. No export operator shall violate the above regulations.

Companies Including：

1. High Point Aerotechnologies

2. Universal Logistics Holdings, Inc.

3. Source Intelligence, Inc.

4. Coalition For A Prosperous America

5. Sierra Nevada Corporation

6. Edge Autonomy Operations LLC

7. Cyberlux Corporation

8. Hudson Technologies Co.

9. Saronic Technologies, Inc.

10. Oceaneering International, Inc.

11. Stick Rudder Enterprises LLC

12. Cubic Corporation

13. S3 AeroDefense

14. TCOM, Limited Partnership

15. TextOre

16. ACT1 Federal

4. 5. Ministry of Commerce also announced the initiation of an Anti-dumping Investigation and Industry Competitiveness Investigation on Imported Medical CT X-ray Tubes Originating from the US and India

official readout:

This anti-dumping investigation was initiated in response to an application from the domestic industry, and the investigated products are certain ball bearing medical CT X-ray tubes. Preliminary evidence submitted by the applicant shows that from 2022 to 2024, the import volume of relevant products dumped from the United States and India increased by 13% cumulatively, import prices continued to decline, creating downward pressure and suppression on domestic product sales prices, causing operational difficulties for the domestic industry, which is in a loss-making state.

After receiving the domestic industry's application, the investigating authority reviewed the application according to relevant Chinese laws and regulations and in compliance with WTO rules, determined that the application met the conditions for initiating an anti-dumping investigation, and decided to launch the investigation. The investigating authority will conduct the investigation according to law and make an objective and fair ruling based on the investigation results.

In terms of the difference between these two investigations

Both investigations were initiated in response to applications from the domestic industry, but there are differences in product scope and investigation content. First, the product scope is different. The industry competitiveness investigation involves imported medical CT X-ray tube products, while the anti-dumping investigation only involves certain ball bearing medical CT X-ray tube products imported from the US and India. Second, the investigation content is different. The industry competitiveness investigation is a factual investigation focusing on the impact of related product imports on the domestic industry and its competitiveness. This investigation does not target specific countries or regions and does not affect normal trade. The anti-dumping investigation targets unfair competition practices of imported products from specific countries and regions, and the investigating authority may decide whether to adopt anti-dumping measures based on the investigation results.

I want to emphasize that the investigating authority will conduct both investigations according to law, fully protect the rights of all interested parties, and safeguard the legitimate rights and interests of the domestic industry.

6. In the meantime, Beijing announced export controls on several rare earth-related items.

According to the provisions of the "Export Control Law of the People's Republic of China," the "Foreign Trade Law of the People's Republic of China," the "Customs Law of the People's Republic of China," and the "Regulations on Export Control of Dual-Use Items of the People's Republic of China," in order to safeguard national security and interests and fulfill international obligations such as non-proliferation, with the approval of the State Council, it has been decided to implement export controls on the following items:

I. Samarium-related items

(A) 1C902.a Metallic samarium, samarium-containing alloys and related products:

1. Metallic samarium (reference customs commodity code: 2805301910).

2. Samarium-containing alloys:
   a. Samarium-cobalt alloys;
   b. Samarium-iron alloys;
   c. Samarium-nickel alloys;
   d. Samarium-aluminum alloys;
   e. Samarium-magnesium alloys.

3. Samarium-containing targets (reference customs commodity codes: 3824999922, 8486909110):
   a. Samarium targets;
   b. Samarium-cobalt alloy targets;
   c. Samarium-iron alloy targets.

4. Samarium-cobalt permanent magnetic materials.

(B) 1C902.b Samarium oxide and its mixtures (reference customs commodity codes: 2846901940, 2846901993, 3824999922).

(C) 1C902.c Samarium-containing compounds and their mixtures (reference customs commodity codes: 2846902810, 2846902910, 2846903910, 2846904820, 2846904910, 2846909920, 3824999922).

II. Gadolinium-related items

(A) 1C903.a Metallic gadolinium, gadolinium-containing alloys and related products:

1. Metallic gadolinium (reference customs commodity code: 2805301910).

2. Gadolinium-containing alloys:
   a. Gadolinium-magnesium alloys;
   b. Gadolinium-aluminum alloys.

3. Gadolinium-containing targets (reference customs commodity codes: 3824999922, 8486909110):
   a. Gadolinium targets;
   b. Gadolinium-iron alloy targets;
   c. Gadolinium-cobalt alloy targets.

(B) 1C903.b Gadolinium oxide and its mixtures (reference customs commodity codes: 2846901930, 2846901993, 3824999922).

(C) 1C903.c Gadolinium-containing compounds and their mixtures (reference customs commodity codes: 2846902810, 2846902910, 2846903910, 2846904820, 2846904910, 2846909920, 3824999922).

III. Terbium-related items

(A) 1C904.a Metallic terbium, terbium-containing alloys and related products:

1. Metallic terbium (reference customs commodity code: 2805301300).

2. Terbium-containing alloys:
   a. Terbium-cobalt alloys;
   b. Terbium-cobalt-iron alloys.

3. Terbium-containing targets (reference customs commodity codes: 3824999922, 8486909110):
   a. Terbium targets;
   b. Terbium-cobalt alloy targets.

4. Terbium-containing neodymium-iron-boron permanent magnetic materials.

(B) 1C904.b Terbium oxide and its mixtures (reference customs commodity codes: 2846901600, 2846901993, 3824999922).

(C) 1C904.c Terbium-containing compounds and their mixtures (reference customs commodity codes: 2846902100, 2846902810, 2846903100, 2846903910, 2846904200, 2846904820, 2846909300, 2846909920, 3824999922).

IV. Dysprosium-related items

(A) 1C905.a Metallic dysprosium, dysprosium-containing alloys and related products:

1. Metallic dysprosium (reference customs commodity code: 2805301200).

2. Dysprosium-containing alloys:
   a. Dysprosium-iron alloys;
   b. Terbium-dysprosium-iron alloys.

3. Dysprosium-containing targets (reference customs commodity codes: 3824999922, 8486909110):
   a. Dysprosium targets;
   b. Terbium-dysprosium-iron alloy targets.

4. Dysprosium-containing neodymium-iron-boron permanent magnetic materials.

(B) 1C905.b Dysprosium oxide and its mixtures (reference customs commodity codes: 2846901500, 2846901993, 3824999922).

(C) 1C905.c Dysprosium-containing compounds and their mixtures (reference customs commodity codes: 2846902200, 2846902810, 2846903200, 2846903910, 2846904300, 2846904820, 2846909400, 2846909920, 3824999922).

V. Lutetium-related items

(A) 1C906.a Metallic lutetium, lutetium-containing alloys and related products:

1. Metallic lutetium (reference customs commodity code: 2805301910).

2. Ytterbium-lutetium alloys.

3. Lutetium targets (reference customs commodity codes: 3824999922, 8486909110).

(B) 1C906.b Lutetium oxide and its mixtures (reference customs commodity codes: 2846901800, 2846901993, 3824999922).

(C) 1C906.c Lutetium-containing compounds and their mixtures (reference customs commodity codes: 2846902810, 2846902910, 2846903910, 2846904820, 2846904910, 2846909920, 3824999922).

VI. Scandium-related items

(A) 1C907.a Metallic scandium, scandium-containing alloys and related products:

1. Metallic scandium (reference customs commodity code: 2805301800).

2. Scandium-containing alloys:
   a. Scandium-aluminum alloys;
   b. Scandium-magnesium alloys;
   c. Scandium-copper alloys.

3. Scandium targets (reference customs commodity codes: 3824999922, 8486909110).

(B) 1C907.b Scandium oxide and its mixtures (reference customs commodity codes: 2846901980, 2846901993, 3824999922).

(C) 1C907.c Scandium-containing compounds and their mixtures (reference customs commodity codes: 2846902810, 2846902910, 2846903910, 2846904820, 2846904910, 2846909920, 3824999922).

VII. Yttrium-related items

(A) 1C908.a Metallic yttrium, yttrium-containing alloys and related products:

1. Metallic yttrium (reference customs commodity code: 2805301700).

2. Yttrium-containing alloys:
   a. Yttrium-aluminum alloys;
   b. Yttrium-magnesium alloys;
   c. Yttrium-nickel alloys;
   d. Yttrium-copper alloys;
   e. Yttrium-iron alloys.

3. Yttrium-containing targets (reference customs commodity codes: 3824999922, 8486909110):
   a. Yttrium targets;
   b. Yttrium-aluminum alloy targets;
   c. Yttrium-zirconium alloy targets.

(B) 1C908.b Yttrium oxide and its mixtures (reference customs commodity codes: 2846901100, 2846901993, 3824999922).

(C) 1C908.c Yttrium-containing compounds and their mixtures (reference customs commodity codes: 2846902600, 2846902810, 2846903600, 2846903910, 2846904600, 2846904820, 2846909690, 2846909920, 3824999922).

Notes:

1. The alloys controlled under items 1C902.a.2, 1C903.a.2, 1C904.a.2, 1C905.a.2, 1C906.a.2, 1C907.a.2, and 1C908.a.2 include ingots, blocks, strips, wires, sheets, rods, plates, tubes, particles, powders, and other forms.

2. The targets controlled under items 1C902.a.3, 1C903.a.3, 1C904.a.3, 1C905.a.3, 1C906.a.3, 1C907.a.3, and 1C908.a.3 include sheets, tubes, and other forms.

3. The permanent magnetic materials controlled under items 1C902.a.4, 1C904.a.4, and 1C905.a.4 include magnets or magnetic powders.

4. The oxides, compounds, and their mixtures controlled under items 1C902.b, 1C902.c, 1C903.b, 1C903.c, 1C904.b, 1C904.c, 1C905.b, 1C905.c, 1C906.b, 1C906.c, 1C907.b, 1C907.c, 1C908.b, and 1C908.c include but are not limited to powders and other forms.

Export operators exporting the above items shall apply for a license from the commerce department of the State Council in accordance with the relevant provisions of the "Export Control Law of the People's Republic of China" and the "Regulations on Export Control of Dual-Use Items of the People's Republic of China."

Export operators should strengthen item identification. When declaring customs, they should note in the remarks column whether the items are controlled items, and if they are controlled items, the dual-use item export control code should be specified. If there are doubts about the above-reported information, customs will question it according to law, and the export goods will not be released during the questioning period.

This announcement shall be formally implemented from the date of its publication. The "Export Control List of Dual-Use Items of the People's Republic of China" will be updated simultaneously.

7. General Administration of Customs suspends imports from two U.S. poultry companies to China

Chinese customs has repeatedly detected furazolidone, a drug legally prohibited in our country, in imported U.S. chicken products. To protect consumer health and safety, in accordance with the "Food Safety Law of the People's Republic of China" and its implementation regulations, the "Measures for the Administration of Import and Export Food Safety of the People's Republic of China" and other relevant provisions, the General Administration of Customs has decided to suspend imports of poultry products to China from two companies, Mountaire Farms of Delaware, Inc. (registration number in China: CUSA01052002200244) and Coastal Processing, LLC (registration number in China: CUSA01051912250083), effective from the date of this announcement.

8. China suspends the qualification of U.S. company C&D (USA) INC. to export sorghum to China and the qualification of three companies including American Proteins Inc. to export poultry bone meal to China

   Recently, Chinese customs detected excessive levels of zearalenone and total mold count in imported U.S. sorghum, and Salmonella in imported U.S. poultry bone meal. To protect the health of Chinese consumers and the safety of livestock production, in accordance with the "Food Safety Law of the People's Republic of China" and its implementation regulations, the "Law of the People's Republic of China on Entry and Exit Animal and Plant Quarantine" and its implementation regulations, the "Measures for the Supervision and Administration of Inspection and Quarantine of Import and Export Grain," the "Measures for the Supervision and Administration of Inspection and Quarantine of Import and Export Feed and Feed Additives," and relevant provisions of the World Trade Organization "Agreement on the Application of Sanitary and Phytosanitary Measures," the General Administration of Customs has decided to suspend, effective from the date of this announcement, the qualification of the involved company C&D (USA) INC. (China registration number: QUSA0824082200028) for exporting sorghum to China, and to suspend the qualifications of three involved companies—American Proteins, Inc. (China registration number: QUSA0423071400055), Mountaire Farms of Delaware, Inc. (China registration number: QUSA0423112000023), and DARLING INGREDIENTS INC. (China registration number: QUSA0423071400061)—for exporting poultry bone meal to China.

9. The State Administration of Market Regulation also launched an anti-monopoly investigation over chemical giant DuPont.

   DuPont China Group Co., Ltd. is suspected of violating the "Anti-Monopoly Law of the People's Republic of China," and the State Administration for Market Regulation has launched a formal investigation against DuPont China Group Co., Ltd. in accordance with the law.