US carmakers affected by trade war: Chinese commerce ministry

Source:Global Times Published: 2018/8/30 17:18:40

US carmakers have been affected to "a certain extent" by the trade war the US has waged against China, as American car imports now face a stiff tariff of 40 percent, a Chinese trade official said on Thursday.

The tariff is a result of rising trade tensions between the US and China, after the world's two largest economies earlier imposed a 25 percent tariff on each other's exports, said Gao Feng, spokesman of the Ministry of Commerce (MOFCOM).

China on July 1 lowered import tariffs on US cars from between 25 percent and 20 percent to 15 percent, according to Gao. Tariffs on auto parts that range from 8 percent to 25 percent were lowered to 6 percent.

However, after the US imposed two further batches of tariffs on July 6 and August 23, respectively, on $50 billion worth of Chinese goods exported to the US, China retaliated in kind. As a result, many US-made cars were included onto China's retaliatory tariff list.

But since China had lowered its car imports on July 1, imports of foreign-made cars that month surged to a single-month record, Gao said.

Now facing a 40 percent tariff, US car exports to China have been affected to a certain extent, Gao said, without elaborating.

Gao noted that the Chinese market is always open, but urged the US to solve economic and trade differences through dialogue, "not big sticks."



Posted in: ECONOMY

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