China's exports to the United States plummeted in April as China's huge tariffs made many U.S. retailers expensive imports from the country.
President Trump fought a trade war with Beijing in April, with tariffs on Chinese goods up to 145%. China imposes a 125% tax on American goods.
As a result, shipments from China to the U.S. fell 21% in April compared to the same period a year ago, data from China’s customs headquarters showed. According to April data, China's exports to Southeast Asian countries are the same, indicating that Trump's tariffs are already strengthening trade patterns.
On Friday, Mr. Trump said in an article on his social media website Truth Social that China's taxation could drop to 80%. The lower rate "looks right", The President wrote before the United States - China Trade negotiations It is scheduled to start in Switzerland this weekend.
While below the 145% tariff currently reached, 80% will still make imports from many U.S.-based businesses expensive. At the same time, many consumers are unlikely to have a burden Prices rise From the steep tariff Economically squeezed.
Some business owners say they are skipping orders they have usually placed with Chinese factories as they wait and see where tariff rates are in China and other countries.
Mr. Trump announced a series of tariffs in specific countries in April, and he was later put on hold - except those in China - 90 days. The 10% tariff on all imported goods in the United States remains in effect. Businesses say a 10% baseline tax is a challenge, but absorbing more than 100% of responsibilities.
As many retailers reconsider their supply chains, some have taken steps to change in the flow of goods around the world in April. Reduce their dependence on Chinathere are steep taxes.
Meanwhile, compared with April 2024, China imports from the United States are more than 13%. If trade negotiations between the two countries progress this weekend, Beijing could reduce its retaliatory tariffs on U.S. goods by 125%.
UBS analysts expect our tariffs on Chinese goods will reach around 34%, "as a more constructive tone, the start of senior negotiations in Switzerland shows that both sides are willing to promote and further negotiations," UBLIKE HOFFMANN-BURCHARDI said in a research note, UBS Global Investion said in a research note, Ulrike Hoffmann-Burchardi said.
Zichun Huang, a Chinese economist in capital economics, added that U.S. tariffs have minimal damage to China as exports to other Asian countries offset the decline in U.S. freight shipments