China has expressed strong opposition to a proposed increase by the United States of an additional 7.5 percent tariff on Chinese imports, signaling its intent to monitor developments closely and reserve the right to respond with necessary measures, according to the Ministry of Commerce. The comments were made at a press briefing in Beijing on Thursday amid reports that Washington is considering the tariff hike as part of an ongoing Section 301 investigation initiated in March into alleged structural excess capacity in manufacturing sectors across 16 economies, including China.
The potential tariff increment would, if implemented, raise U.S. duties on Chinese goods to approximately 20 percent, a level similar to tariffs introduced during former President Donald Trump’s administration. However, the ultimate rate has not been finalized. One option under discussion reportedly involves imposing a higher tariff but suspending a portion, effectively maintaining the increase at 7.5 percent.
Huang Ling, spokeswoman for China’s Ministry of Commerce, criticized the investigation as politicizing trade matters and embodying unilateralism and protectionism. The ministry had previously released a statement calling for a comprehensive and objective approach to addressing concerns over manufacturing overcapacity and urged that such issues be resolved through open and mutually beneficial cooperation.
Experts and analysts echoed these views, emphasizing that escalating tariffs have so far failed to revive U.S. manufacturing or reduce the overall trade deficit. Zhou Mi, senior researcher at the Chinese Academy of International Trade and Economic Cooperation, argued that raising tariffs would increase trade costs and diminish efficiency brought about by global specialization, ultimately harming efforts to bolster American industry. “Any recovery would be difficult to sustain without openness and cooperation,” he said.
A recent analysis from the Washington-based Center for Strategic and International Studies similarly questioned the effectiveness of the United States’ high-tariff strategy. While the U.S. trade deficit with China has somewhat contracted, deficits with other partners have expanded, resulting in no net reduction overall. The report also noted that high tariffs have contributed to rising consumer prices and economic uncertainty, estimating that the cost burden on U.S. households could reach about $1,100 annually.
Cui Fan, a professor of international trade at the University of International Business and Economics in Beijing, dismissed the notion that blaming China would address the challenges facing U.S. manufacturing. He reiterated China’s willingness to enhance cooperation in industrial and supply chain manufacturing with countries worldwide.
As the United States weighs these tariff measures, the ongoing dispute highlights the persistent tensions between the two largest economies over trade policy and industrial strategy amid broader efforts to manage complex global supply chains and economic relations.