As Trump threatens more tariff rises, China uses low duties to secure resources

South China Morning PostCenter-RightEN 2 min read 100% complete by Ralph JenningsJanuary 20, 2026 at 03:30 PM

AI Summary

short article 2 min

While the US, under President Trump, has increased tariffs, China has been lowering import duties to secure resources and strengthen international relationships. China's average effective tariff rate fell to 1.3% in 2023, while the US's rose to 11.2%, the highest since 1943. China's strategy of low or zero tariffs on commodities like crude oil, natural gas, and iron ore ensures a steady supply of raw materials and fuel from overseas suppliers. This approach contrasts with the US's tariff increases on various countries, driven by economic and national security concerns. The differing strategies highlight contrasting approaches to trade and global economic engagement between the two nations.

Key Entities & Roles

Key Player Opposition Context

Greenland 30% European nations 40% Xu Tianchen ×250% Tax Foundation 60% Economist Intelligence Unit (EIU) ×270% United States 80% Donald Trump ×390% China ×395%

Keywords

tariffs 100% trade policy 80% import duties 70% china 70% united states 60% strategic resources 50% global markets 50% raw materials 40% economic policy 40%