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Following the Trump administration’s decision to impose a 10% tariff on Chinese imports, the Chinese government swiftly retaliated by announcing tariff increases of 10% to 15% on certain U.S. goods, blacklisting specific companies, and launching an investigation into Google for alleged violations of China’s Anti-Monopoly Law.
As part of these countermeasures, China imposed a 15% tariff on U.S. coal and liquefied natural gas (LNG), while crude oil, agricultural machinery, high-displacement vehicles, and pickup trucks faced a 10% tariff increase. Additionally, the government emphasized that specific U.S. imports would be subject to higher tariffs based on existing applicable rates, with no adjustments to current bonded or exemption policies. It also made clear that the newly imposed tariffs would not qualify for exemptions.
Furthermore, China’s Ministry of Commerce added PVH Corp., the parent company of Tommy Hilfiger, Calvin Klein, Warner’s, Olga, and True & Co., as well as Illumina, a biotechnology company headquartered in San Diego, California, to its “Unreliable Entity List.” The government justified these designations by citing their threats to national sovereignty, security, and economic interests. Illumina, which operates in Brazil, the United Kingdom, the Netherlands, China, Singapore, Japan, and Australia, now faces potential trade restrictions within China.
Among these developments, the most attention-grabbing announcement was the investigation into Google by China’s State Administration for Market Regulation (SAMR) for alleged violations of the Anti-Monopoly Law. While Chinese authorities did not disclose specific details regarding Google’s alleged infractions, some analysts speculate that the case may be linked to the deep integration of Google services with Android devices sold outside China. Many Chinese brands, to compete in global markets, must collaborate extensively with Google, particularly regarding Android’s reliance on Google services. Additionally, Google’s advertising business may play a role in shaping the competitive landscape for Chinese companies expanding abroad.
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