“Tax On Americans”: China’s Message To US Citizens Amid Trump’s Tariff War


Beijing:

Amid the escalating trade war between the United States and China, Beijing seems to have altered its strategy of dealing with Washington by aiming its message directly at the American public instead of the Trump administration. China’s latest communication offensive to US citizens challenges the popular narrative among Americans that tariffs imposed by US President Donald Trump target foreign economies without domestic consequences.

Chinese Foreign Ministry spokesperson Mao Ning posted a video on X featuring a man who is supposed to be a US importer. In the video, the man addresses the American public, especially Trump supporters, warning that ordinary citizens -not foreign countries- will have to bear the cost of Trump’s aggressive trade policies, which would hike the prices of imported items and burden consumers.

“Foreign countries pay the tariffs? No – US businesses pay, then pass costs to you. Tariffs don’t bring manufacturing back. They’re just a tax on Americans,” Mao captioned the post. 

US-China Trade War

The post comes amid escalating economic tension between the world’s two largest economies after US President Donald Trump imposed hefty taxes on Chinese goods, calling them “reciprocal tariffs.”

Trump on Wednesday increased the stakes in a trade war that threatens to upend global supply chains by raising tariffs on Chinese goods to 145 per cent. In retaliation, Beijing increased its tariffs on US imports to 125 per cent on Friday. 

The tit-for-tat tariff increases by the US and China stand to make goods trade between the world’s two largest economies impossible, analysts say. That commerce was worth more than $650 billion in 2024.

“We pretty much can do what we want to do, but we want to be fair. We can set the tariff, and they can choose not to deal with us or they can choose to pay it,” Trump said on Air Force One, repeating his contention that US-imposed tariffs are paid by foreign exporters.

How Tariffs Work

Although such levies can inflict pain on the exporter by making its products less competitive, tariffs are paid by the importer, which often passes the additional cost on to the consumer.

Trump Says Negotiations On Table

Trump, who said on Friday he was comfortable with the tariffs on China, has suggested that a deal with Beijing could be in the offing, too, heaping praise on President Xi Jinping despite their differences over trade. But there were no signs that the world’s two largest economies were ready to back down.

“The president made it very clear: When the United States is punched, he will punch back harder,” White House Press Secretary Karoline Leavitt told reporters on Friday.

Trump’s Exemptions From China Tariffs

The Trump administration granted exclusions from steep reciprocal tariffs to smartphones, computers and some other electronics imported largely from China, providing a big break to tech firms like Apple that rely on imported products.

In a notice to shippers, the US Customs and Border Protection agency published a list of tariff codes excluded from the import taxes, with retroactive effect from 4:01 am (GMT) on April 5. 

It featured 20 product categories, including the broad 8471 code for all computers, laptops, disc drives and automatic data processing. It also included semiconductor devices, equipment, memory chips and flat panel displays.

The notice gave no explanation for the move, but the late-night exclusion provides welcome relief to major technology firms such as Apple, Dell Technologies and many other importers.

Trump’s action also excludes the specified electronics from his 10 per cent “baseline” tariffs on goods from most countries other than China, easing import costs for semiconductors from Taiwan and Apple iPhones produced in India.


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