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China, Canda, and the EU have announced retaliatory measures in response to President Trump's imposition or increase of tariffs.

The European Union's Retaliatory Measures

 The EU announced March 11, 2025 a two-pronged retaliatory response to the 25 percent tariffs the U.S. imposed on imports of steel and aluminum and derivative products as of March 12, 2025. These measures will not take effect for several weeks, and EU officials said they are “ready to negotiate” with the U.S. during that time.

According to information from the European Commission, the first step will be to reinstate tariffs as of April 1 on €4.5 billion worth of imports from the U.S. These tariffs, which had been suspended during President Trump’s first term will cover “products ranging from boats to bourbon to motorbikes” (see here and here for affected goods).

In the second step the EU plans to have in place by mid-April tariffs on another €18 billion worth of imports from the U.S. The Commission said proposed target products (a full list can be downloaded here) include industrial products such as steel and aluminum products, textiles, leather goods, home appliances, house tools, plastics, and wood products as well as agricultural products such as poultry, beef, seafood, nuts, eggs, dairy, sugar, and vegetables.

However, the EU will first consult with stakeholders through March 26 to “ensure that the right products are chosen for inclusion in the new countermeasures.” The Commission will then use comments received to finalize a proposal to adopt specific countermeasures, which will be followed by consultations with EU member states. The Commission aims to have a legal act imposing countermeasures in place by mid-April.

Canada's Retaliatory Measures

Canadian Prime Minister Justin Trudeau responded to the U.S. tariffs imposed under IEEPA by saying that his country will impose 25 percent tariffs on C$155 billion worth of imports from the U.S. in two phases and that these tariffs will remain in place until the U.S. eliminates its tariffs against Canada. The first phase, which took effect March 4, covers C$30 billion worth of goods, including orange juice, peanut butter, wine, spirits, beer, coffee, appliances, apparel, footwear, motorcycles, cosmetics, and pulp and paper. The second phase, which is suspended until April 2, will include passenger vehicles and trucks, steel and aluminum products, certain fruits and vegetables, aerospace products, beef, pork, dairy, recreational vehicles, and recreational boats. 

“Should U.S. tariffs not cease,” Trudeau added, “we are in active and ongoing discussions with [Canadian] provinces and territories to pursue several non-tariff measures.” 

China's Retaliatory Measures

In response to the tariffs the U.S. imposed on imports from China under IEEPA, Chinese government authorities have announced the retaliatory measures outlined below.

It is expected that U.S. companies’ subsidiaries in China will face more audits and investigations by Chinese authorities, as well as higher duty costs for selling goods to China. To mitigate these risks, ST&R’s Asia-based trade professionals can help companies monitor regulatory updates; understand Chinese regulations and Chinese authorities’ enforcement priorities; conduct internal risk assessments; respond to audits by Chinese authorities, including China Customs, Tax Bureau, and Ministry of Commerce; negotiate with authorities on case settlement; and restructure supply chains.

Tariffs

Effective Feb. 10 China imposed a 15 percent tariff on coal and liquefied natural gas, and a 10 percent tariff on crude oil, agricultural machinery, automobiles (>2,500cc), and pickup trucks. 

Effective March 10, China plans to impose additional tariffs of 15 percent on chicken, wheat, corn, and cotton, and 10 percent on sorghum, soybeans, pork, beef, aquatic products, fruits, vegetables, and dairy products, imported from the U.S. Press reports indicate that goods in transit will be exempt through April 12.

Additional tariffs may be imposed if the U.S. increases its 20 percent tariff to a higher rate.

Unreliable Entity List

Effective Feb. 4 China added two U.S. entities in the apparel and biotech industries to its unreliable entity list. This was the first time China has added non-military companies to this list.

Effective March 4 China added ten U.S. entities to its unreliable entity list. Entities on this list are prohibited from engaging in import and export activities related to China as well as making new investments in China. China has also for the first time prohibited imports from a specific U.S. entity previously added to the unreliable entity list.

Export Controls

Effective Feb. 4 China has imposed new restrictions on exports of the following critical materials and technology used in the semiconductor, defense, and manufacturing industries. Many of these exports currently go to the U.S. and the restrictions could therefore present difficulties for U.S. companies that rely on importing covered items from China. See list here.

Effective March 4 China’s Ministry of Commerce added 15 U.S. entities to its dual-use export control list. As a result, exports of dual-use items to these entities are prohibited and all relevant export activities currently being carried out must be halted immediately. If such exports are necessary under special circumstances the exporter must apply for a dual-use export license from MOFCOM.

Anti-Circumvention Investigation

On March 4 MOFCOM initiated China’s first ever anti-circumvention investigation, to determine whether U.S. fiber manufacturers and/or exporters have used relevant cutoff wavelength-shifted single-mode fibers to circumvent antidumping measures on non-dispersive shifted single-mode fibers originating in the U.S. Stakeholders have 20 days to register with MOFCOM to participate in this investigation or submit comments.

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