US and China trade tensions once again escalated after world’s two largest economies imposed port fees on each other’s carriers.
According to Reuters, in the latest development, China and the United States on Tuesday, October 14, started charging additional port fees to ships carrying goods, including toys and crude oil, including the shipping industry in the trade war.
China announced that it will collect special charges only from US-owned, built, operated and flagged ships to protect its shipping industry from "discriminatory" measures, while the Chinese-built vessels would be exempted from the new taxes.
A Chinese commerce ministry spokesperson said, “China's position is consistent. If there's a fight, we'll fight to the end, if there's a talk, the door is open. The US cannot demand talks while simultaneously imposing new restrictive measures with threats and intimidation. This is not the right way to engage with China.”
The new levies came after China last week tightened control on its rare earth exports, triggering a 100% tariff warning from US President Donald Trump.
On the other hand, the US imposed new tariffs on imported timber, upholstered furniture, and kitchen cabinets, which majorly come from China, also effective on Tuesday.
Furthermore, a day before the port fee announcement, US Treasury Secretary Scott Bessent on Monday stated that Trump and President Xi Jinping are expected to meet in South Korea in late October to de-escalate trade tensions.
