China to impose 10% tariff on oil, agri machines from US, 15% on coal, LNG imports

In a significant escalation of trade tensions, Bloomberg reports that China will impose new import taxes on products from the United States. The tariffs include a 15% duty on coal and LNG imports and a 10% duty on oil and agricultural machinery. Additionally, China has announced an investigation into Google over alleged anti-trust violations.

The announcement comes as the US and China prepare for critical tariff talks within the next 24 hours, with US President Donald Trump indicating that negotiations with Chinese officials could determine the fate of upcoming tariffs.

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Trump Pauses Tariffs on Canada and Mexico

Earlier, Trump announced a temporary pause on imposing a 25% tariff on goods from Canada and Mexico, which had been set to take effect on Saturday night. The announcement triggered a recovery on Wall Street, with the Dow Jones rebounding by 550 points from its intraday lows. However, the major indices still ended the session in the red.

The move also led to a strong recovery in the Canadian and Mexican currencies, which reversed losses to trade with gains. Trump emphasized that the talks with China would be crucial, hinting that a potential reprieve on the 10% tariff could be on the horizon.

China-US Negotiations
Trump confirmed that discussions with Chinese officials are likely within the next 24 hours. The Chinese markets, currently closed for the Lunar New Year holiday, are expected to resume trading on Wednesday, potentially aligning with a possible breakthrough in negotiations. However, Trump warned that if no agreement is reached, the tariffs would be “very, very substantial.”

Disclaimer: The information provided is for informational purposes only and does not constitute financial advice.