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BEIJING: China on Tuesday swiftly retaliated against fresh US tariffs, announcing 10 percent-15 percent hikes to import levies covering a range of American agricultural and food products, moving the world’s top two economies a step closer toward an all-out trade war.
Beijing also placed twenty five US firms under export and investment restrictions on national security grounds, but refrained from punishing any household names, as it did when it retaliated against the Trump administration’s February 4 tariffs.
Ten of these 25 US firms were targeted by China for selling arms to Taiwan, which China claims as its own territory.
China’s latest retaliatory tariffs came as the extra 10 percent duty US President Donald Trump threatened China with last week entered into force at 0501 GMT on March 4, resulting in a cumulative 20 percent tariff in response to what the White House considers Chinese inaction over drug flows.
China has accused the US of fentanyl blackmail and it has some of the toughest anti-drug policies in the world.
Analysts have said Beijing still hoped to negotiate a truce with the Trump administration, but the tit-for-tat retaliatory tariffs threaten to escalate into an all-out trade war between the two economic giants.
The new US tariffs represent an additional hike to preexisting levies on thousands of Chinese goods.
Some of these products bore the brunt of sharply higher US tariffs under former president Joe Biden last year, including a doubling of duties on Chinese semiconductors to 50 percent and a quadrupling of tariffs on Chinese electric vehicles to over 100 percent.
The 20 percent tariff will apply to several major US consumer electronics imports from China that were previously untouched, including smartphones, laptops, videogame consoles, smartwatches and speakers and Bluetooth devices.
China responded immediately after the deadline, announcing it will impose an additional 15 percent tariff on US chicken, wheat, corn and cotton and an extra 10 percent levy on US soybeans, sorghum, pork, beef, aquatic products, fruits and vegetables and dairy imports from March. 10, the finance ministry announced in a statement.
“The US’s unilateral tariffs measures seriously violate World Trade Organization rules and undermine the basis for economic and trade cooperation between China and the US,” China’s commerce ministry said in a separate statement.
“China will firmly safeguard its legitimate rights and interests,” the statement added.

Tokyo: Firefighters were Tuesday battling Japan’s worst wildfire in half a century, which has left one dead and forced the evacuation of nearly 4,000 local residents.
White smoke billowed from a forested area around the northern city of Ofunato, aerial TV footage showed, five days after the blaze began after record low rainfall.
The fire also follows Japan’s hottest summer on record last year, as climate change pushes up temperatures worldwide.
As of Tuesday morning, the wildfire had engulfed around 2,600 hectares (6,400 acres), the fire and disaster management agency said — over seven times the area of New York’s Central Park.
That makes it Japan’s largest wildfire since 1975 when 2,700 hectares burnt in Kushiro on northern Hokkaido island.
It is estimated to have damaged at least 80 buildings by Sunday, although details were still being assessed, the agency said.
Military and fire department helicopters are trying to douse the Ofunato fire, but it is still spreading, a city official told reporters.
“There is little concern that the fire will reach the (more densely populated) city area,” the official said, adding that authorities were “doing our best” to put it out.
Around 2,000 firefighters — most deployed from other parts of the country, including Tokyo — are working from the air and ground in the area in Iwate region, which was hard-hit by a deadly tsunami in 2011.
An evacuation advisory has been issued to around 4,600 people, of whom 3,939 have left their homes to seek shelter, according to the municipality.
The number of wildfires in Japan has declined since its 1970s peak, but the country saw about 1,300 in 2023, concentrated in February to April when the air dries and winds pick up.
Ofunato had just 2.5 millimeters (0.1 inches) of rainfall in February — breaking the previous record low for the month of 4.4 millimeters in 1967 and below the usual average of 41 millimeters.
Since Friday, “there has been no rain — or very little, if any” in Ofunato, a local weather agency official told AFP.
But “on Wednesday it may rain or snow,” he said.
Some types of extreme weather have a well established link with climate change, such as heatwaves or heavy rainfall.
Other phenomena like droughts, snowstorms, tropical storms and forest fires can result from a combination of complex factors.
Some companies have been affected by the wildfire, such as Taiheiyo Cement, which told AFP its Ofunato plant has suspended operations for several days because part of its premises is in the evacuation advisory zone.
Ofunato-based confectionery company Saitoseika warned that “if our headquarters or plants become a no-go zone, we may need to halt production,” describing the situation as “tense.”
Japanese baseball prodigy Roki Sasaki — who recently joined the Los Angeles Dodgers — has offered a 10 million yen ($67,000) donation and 500 sets of bedding, Ofunato city’s official account posted on X.
Sasaki was a high school student there, after losing his father and grandparents in the huge 2011 tsunami.