China has imposed new tariffs on US coal, liquefied natural gas (LNG), and crude oil, while launching an antitrust investigation into Google, in response to the latest trade measures by the United States. The move follows US President Donald Trump&rsquo;s imposition of a 10% tariff on Chinese imports, escalating trade tensions between the two economic powers.
Beijing&rsquo;s finance ministry announced 15% tariffs on US&nbsp;coal and LNG and 10% duties on crude oil, farm equipment, and large-displacement vehicles. China&rsquo;s commerce ministry also declared new export controls on critical minerals, including tungsten, tellurium, ruthenium, and molybdenum, citing national security concerns.
Additionally, China placed US&nbsp;companies PVH Group and Illumina Inc on its unreliable entity list, restricting their operations within the country. PVH owns clothing brands like Tommy Hilfiger and Calvin Klein, while Illumina specializes in genomic sequencing and has partnered with Nvidia on AI health technologies.
&ldquo;The unilateral imposition of tariffs by the US&nbsp;seriously violates World Trade Organization rules,&rdquo; China&rsquo;s finance ministry said. &ldquo;It is not helpful in solving its own problems and damages normal economic and trade cooperation.&rdquo;
Meanwhile, the US&nbsp;has revoked an exemption that previously allowed Chinese goods valued under $800 to enter duty-free. This change impacts major Chinese online retailers such as Shein and Temu.
Trump has also delayed imposing 25% tariffs on Mexico and Canada following last-minute negotiations with their leaders.
As further tariff hikes loom, Trump is set to speak with Chinese President Xi Jinping later this week. Beijing has warned of additional countermeasures and plans to file a case against the US&nbsp;at the World Trade Organization.
Global financial markets responded with mixed reactions. Hong Kong&rsquo;s Hang Seng index rose by nearly 2.8%, while South Korea&rsquo;s Kospi gained 1.3%. In contrast, London&rsquo;s FTSE 100 fell by 31 points, and the British pound weakened to $1.24 against the US&nbsp;dollar. The Canadian dollar, which rebounded on Monday after hitting a 20-year low, saw further declines.
With China&rsquo;s markets closed for the Lunar New Year holiday, trading will resume on Wednesday amid heightened trade tensions.

Representative image of US-China relations

Beijing imposes new levies, launches Google probe after U.S. tariffs escalate trade tensions

China Hits Back at US with Tariffs, Google Probe

Beijing imposes new levies, launches Google probe after U.S. tariffs escalate trade tensions

February 4, 2025 | 15:19 IST