China said Monday that the United States had agreed during recent bilateral trade discussions to cap replacement tariffs on Chinese goods at 20%.
According to the Commerce Ministry, the current U.S. replacement tariff on Chinese products stands at 12.5%, following Washington’s final measures under a Section 301 investigation into imports allegedly linked to forced labor.
The Office of the U.S. Trade Representative imposed the measures on July 23, introducing additional tariffs on imports from 60 economies, including a 12.5% duty on Chinese goods. Beijing criticized the move, arguing that the investigation and resulting tariffs represented unilateral action and protectionist trade practices.
The ministry stated that Washington had repeatedly indicated Section 301 tariffs would serve as replacements for duties previously imposed under the International Emergency Economic Powers Act (IEEPA) and the Section 122 import surcharge after those measures were declared invalid.
“The U.S. side explicitly committed during China-U.S. economic and trade consultations that replacement additional tariffs on Chinese goods would not exceed 20%,” the ministry said.
The ministry added that China’s countermeasures against the initial round of U.S. tariffs linked to fentanyl-related concerns and so-called reciprocal tariffs remain active. It also stated that Beijing would continue to closely track and evaluate any additional actions taken by Washington, while maintaining the option to implement further necessary measures.
Beijing called on Washington to eliminate unilateral tariff measures and resume further discussions.
The statement represents China’s first public disclosure of a tariff ceiling reportedly reached during trade negotiations, although the United States has not independently confirmed the 20% limit.
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