Business Strategies

China Targets Farmers in Worsening Trade War

By Pan Demetrakakes, Senior Editor

May 13, 2019

Farm products are primary targets in China’s retaliation against the latest round of tariffs imposed by the Trump administration.

China announced a new 25% tariff on 2,493 U.S. products, plus duties of 5% to 20% on others, starting June 1. The new tariffs are in response to President Trump’s decision, announced in a tweet on May 10, to allow tariffs on selected Chinese goods to rise from 10% to 25%.

Agricultural goods, including wheat, poultry, sugar and peanuts, are among the biggest targets of China’s newest tariffs. This is partly because agricultural commodities are among America’s most valuable exports to China, and partly because the Chinese know that states with heavy agricultural production were among Trump’s biggest political supporters.