China Retaliates Against U.S. Tariffs

On 4th February 2025, China announced a series of measures targeting U.S. businesses, minutes after new U.S. tariffs on Chinese goods took effect, escalating trade tensions between the two largest economies.

Key Points

Sanctions & Blacklist: China placed PVH Corp (owner of Calvin Klein and Tommy Hilfiger) and biotech firm Illumina on its “unreliable entity” list, citing discriminatory practices against Chinese companies.
Google Under Investigation: China’s market regulator launched an anti-monopoly probe into Google but provided no details on specific violations.
Trade Restrictions: Companies on China’s blacklist may face fines, trade restrictions, and work permit revocations for foreign staff.
New Tariffs: China imposed 10% tariffs on U.S. farm equipment, coal, gas, and electric trucks, affecting firms like Caterpillar, Deere & Co, and AGCO.
Tech War Intensifies: China’s measures follow previous trade restrictions under the Biden administration, including a probe into Nvidia over alleged anti-monopoly violations.
Tariff Implementation: The new Chinese tariffs on U.S. goods will take effect on February 10.