China Faces Diminishing Returns With U.S. Commodity Tariffs
- U.S. goods targeted by China are already subject to tariffs
- Trade flows have been squeezed since last year due to levies
The Asia Vision LNG carrier ship sits docked at the Cheniere Energy Inc. terminal in this aerial photograph taken over Sabine Pass, Texas, U.S., on Feb. 24, 2016.
Photographer: Lindsey Janies/Bloomberg
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China’s latest retaliation against U.S. tariffs is set to prove largely benign to commodity trade flows as Beijing runs out of raw materials to target.
Some products targeted by China tariffs were already squeezed by the long-running trade war. Meanwhile, other politically sensitive items, including soybeans, have been subject to top-end levies of 25% since last year.