China opposes US tariff hikes, vows countermeasures to defend its firms' interests

China strongly opposes the US tariff move to increase tariffs on Chinese imports, the commerce ministry said on Saturday, urging the Biden administration to immediately rectify its “wrongdoings” and remove all tariffs imposed on Chinese goods.

This statement came after the US confirmed significant tariff hikes on Friday, including a 100% duty on electric vehicles to protect its strategic industries in response to China’s state-driven industrial policies.

“China will take necessary measures to defend the interests of Chinese companies resolutely,” the statement said.

The US Trade Representative’s office said that many of the tariffs, including a 100% duty on Chinese EVs, 50% on solar cells and 25% on steel, aluminum, EV batteries and key minerals, would take effect on Sept. 27.

The Biden administration also left in place Trump’s tariffs on over $300 billion worth of Chinese goods ranging from toys and t-shirts to internet routers and industrial machinery at rates of 7.5% to 25%.

The final decision largely disregarded pleas from automakers for lower tariffs on graphite and critical minerals used in EV battery production because they are still dependent on Chinese supplies.

The action drew industry complaints that the increases would disrupt supply chains, including for semiconductor-intensive products, and do little to stop China’s technology transfer and industry domination practices that have led to excess factory production now flooding global markets.

With inputs from agencies.