China on Friday raised tariffs on imports from the U.S. to 125%, the country’s latest response in an escalating trade war with President Trump. The U.S.’s tariffs on China now total 145%.
The 125% tax will make it much more costly for Chinese companies to purchase and bring U.S.-made goods into the country, and could cut U.S. producers off from an important trade market.
President Trump on Wednesday afternoon said he’s increasing the tariff rate on Chinese imports to 125%, while also moving to pause reciprocal tariffs on other countries for 90 days and lowering that rate to 10% for most nations. China also faces a 20% fentanyl-related tariff, bringing the total rate at which its goods are taxed to 145%.
China was the third-largest export market for the U.S. in 2023, behind Canada and Mexico, with companies shipping $145 billion worth of goods to the Asian nation, according to the U.S.-China Business Council.
U.S. exports to China supported 931,231 American jobs in 2022, according to the same report, most of which were sustained by agriculture and livestock exports.
What products does China import from the U.S.?
China’s top imports from the U.S. in 2023 were oilseeds and grains, followed by oil and gas. Oilseeds and grain exports fell by $7 billion from 2022 to 2023, and could fall even more substantially under the current tit-for-tat tariff spat between the U.S. and China. Grains include crops such as soybeans, wheat and corn.
“Any new U.S. tariff increases on imports from China, which many lawmakers and political leaders are actively proposing, could adversely impact the American agriculture sector if they trigger retaliatory actions,” the U.S.-China Business Council said in its 2024 report.
Oil and gas shipments to China come predominately from Texas and Louisiana, which together account for 96% of U.S. oil and gas exports.
Pharmaceutical products and medicines, semiconductors and components, aerospace products, chemicals and motor vehicles are also among the largest categories of goods that China imports from the U.S.
Here’s a complete list of the products China imports from the U.S., according to the U.S.-China Business Council:
Oilseeds and grains: $18.5 billionOil and gas: $17.6 billionOther: $15.9 billionPharmaceuticals and medicines: $11.3 billionSemiconductors and components: $6.8 billionAerospace products and parts: $6.8 billionNavigational and measurement instruments: $6.8 billionBasic chemicals: $6.5 billionMotor vehicles: $6.1 billionResins and synthetic fibers: $5.5 billionIndustrial machinery: $5 billionMeat products: $4.5 billionMedical equipment and supplies: $3.6 billionGeneral purpose machinery: $2.6 billionMiscellaneous crops: $2.4 billionScrap products: $2.4 billionPulp and paperboard mill products: $2.1 billionMiscellaneous manufactured commodities: $2.1 billionComputer equipment: $1.8 billionNon-ferrous metal products: $1.8 billionMotor vehicle parts: $1.7 billionElectrical equipment and components: $1.7 billionMiscellaneous fabricated metal products: $1.6 billion Plastic products: $1.4 billionEngines and turbines: $1.4 billionElectrical equipment: $1.3 billionCommunications and service industry machinery: $1.3 billionSoaps, cleaning agents and toiletries: $1.3 billionFruits and tree nuts: $1.1 billionCoal and petroleum gases: $1.1 billionMarine products: $1 billion
Which U.S. states export the most to China?
Broken down by state, Texas was the largest exporter of goods to China in 2023, with Beijing importing $25.7 billion worth of products from the Lone Star State that year.
China also imported $16.4 billion worth of goods from California, and $6.5 billion from Louisiana. South Carolina rounded out the top 10, exporting $3.9 billion worth of goods to China that year.
