What the 245% tariff on Chinese goods really implies for U.S.-China trade?
A White House statement on a 245% tariff on Chinese goods caused confusion. The figure combines previous and new tariffs, impacting the U.S.-China trade relations.
The White House's statement on April 15, outlining tariffs on some Chinese products, left many confused as it cited a 245% tariff. Initially, it seemed to be an escalation in the trade war, but the White House clarified that the figure included previous and new tariffs, not just the current 145% tariff imposed by Trump.
This clarification comes after Chinese officials expressed confusion over the statement, questioning the accuracy of the tariff number.
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245% tariffs on Chinese goods
It is important to understand that the 245% tariff is not a single new levy, but rather a sum of all tariffs placed on some Chinese goods. For example, before the new administration took place, tariffs of up to 100% were already imposed, and adding the ones introduced by President Trump, some goods have a total of 245%.
Xi Ping is China's president: Photo: BBC
Some of the products on this list are: electric vehicles and syringes, which already had tariffs imposed on them since the Biden administration.
How the 245% tariff impacts U.S.-China trade relations
This trade war has led to even more elevated tariffs on both countries, affecting many industries and consumers. However, The United States insists the decision is solely on China's shoulders.
“The ball is in China's court. China needs to make a deal with us. We don't have to make a deal with them," according to White House Press Secretary Karoline Leavitt, Trump stated.