China faces up to 245% tariff on exports to US: White House

As part of his ‘America First’ trade policy, Trump reinstated a 25 per cent tariff on steel and aluminium and introduced a universal 10 per cent tariff on all imports—with higher rates targeting countries with which the US has significant trade deficits. While over 75 countries have entered talks to negotiate new trade terms, China remains excluded due to its ongoing retaliations.

Trump has also signed an Executive Order launching a national security investigation into the US’ reliance on imported processed critical minerals, directing the Commerce Secretary to evaluate vulnerabilities under Section 232 of the Trade Expansion Act. The investigation may result in new tariffs replacing existing reciprocal rates if national security risks are confirmed.

Critical minerals such as gallium, germanium, and rare earths are vital for defence systems, semiconductors, and aerospace technologies. Trump’s administration warned that China's export bans on these materials—deemed strategic and high-risk—pose a direct threat to national security and economic stability.

The administration’s ‘Fair and Reciprocal Plan’ also aims to counter digital service taxes and other discriminatory practices levied against US companies abroad, reinforcing Trump's broader effort to close trade loopholes and safeguard American innovation.

Fibre2Fashion News Desk (KD)