White House says China faces up to 245% tariffs due to its retaliatory actions

ISTANBUL

The US announced that China now faces a new tariff of up to 245% due to its retaliatory measures, according to a statement by the White House on late Tuesday.

The White House's latest administrative order, revealed late Tuesday, has launched a national security inquiry into vital resource imports. The order also included explanations for the reciprocal tariffs announced on April 2.

"China now faces up to a 245% tariff on imports to the United States as a result of its retaliatory actions," the White House said.

"On Day One, President Trump initiated his America First Trade Policy to make America’s economy great again," it said.

"More than 75 countries have already reached out to discuss new trade deals. As a result, the individualized higher tariffs are currently paused amid these discussions, except for China, which retaliated," it added.

"A few months ago, China banned exports to the United States of gallium, germanium, antimony, and other key high-tech materials with potential military applications.

"Just this week, China suspended exports of six heavy rare earth metals, as well as rare earth magnets, in order to choke off supplies of components central to automakers, aerospace manufacturers, semiconductor companies and military contractors around the world."

The statement did not clarify the exact tariff rate China faces but it implied that the tariff rate could go up to 245%.

China increased its tariffs on imports of US goods to 125% last Friday in a tit-for-tat move to Trump, who effectively raised US tariffs on Chinese goods to 145% while putting a 90-day pause on planned levies for other countries' goods.