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India, China Should Unite Against US Tariff ‘Abuse’, Says Chinese Official

India, China Should Unite Against US Tariff 'Abuse', Says Chinese Official
India, China Should Unite Against US Tariff 'Abuse', Says Chinese Official

On April 8, 2025, amid escalating global trade tensions, Yu Jing, spokesperson for the Chinese Embassy in India, called for China and India to stand together against what was described as US “abuse of tariffs.” This statement comes in the context of the Trump administration’s recent implementation of significant tariff increases on imports from multiple countries, with particularly severe measures targeting China.

The Statement and Its Context

Yu Jing stated on social media platform X: “China-India economic and trade relationship is based on complementarity and mutual benefit. Facing the U.S. abuse of tariffs… the two largest developing countries should stand together to overcome the difficulties” Reuters.

In a more detailed statement, the Chinese official elaborated that the US tariffs “deprive countries, especially Global South countries, of their right to development,” emphasizing that “trade and tariff wars have no winners” Times of India.

The US Tariff Measures

The statement comes in direct response to the Trump administration’s implementation of sweeping tariff measures:

  1. China-specific tariffs: An extraordinary 104% tariff on Chinese imports, composed of an additional 50% tariff on top of a 34% reciprocal tariff and other existing duties. These came into effect at 12:01 a.m. ET on April 9, 2025 Yahoo Finance.
  2. India-specific tariffs: A 26% tariff on Indian imports, significantly lower than those imposed on China but still substantial NDTV Opinion.
  3. Global tariffs: A blanket 10% tariff on imports from 185 countries announced on April 2, 2025, which took effect on April 9, 2025 Yahoo Finance.

China’s Response to US Tariffs

China has responded defiantly to the US tariffs, with its Commerce Ministry stating: “The US threat to escalate tariffs on China is a mistake on top of a mistake. The threat once again exposes the blackmailing nature of the US. China will never accept it. If the US insists on its own way, China will fight to the end” Indian Express.

China has already announced a 34% retaliatory tariff on all US imports starting April 10, 2025, and has indicated that further countermeasures may be forthcoming.

Current India-China Relations

The Chinese call for cooperation comes against a backdrop of complex India-China relations, characterized by:

  1. Ongoing border tensions: Relations between the two Asian powers have been strained since deadly clashes along their disputed Himalayan border in 2020. Despite some efforts at de-escalation, including a border agreement in late 2024, tensions persist Foreign Policy.
  2. Growing trade imbalance: Despite significant bilateral trade volume exceeding $136 billion in 2023, India maintains a substantial trade deficit with China, which grew to nearly $95 billion by 2022 Statista.

India’s Position and Response

As of the available information, India has not issued a direct response to China’s call for cooperation. However, India’s approach to the US tariffs has been characterized by:

  1. Measured diplomacy: India has refrained from taking retaliatory action against US tariffs or making sharp public responses. Instead, it has issued only minimal statements noting that it is examining the tariff order Indian Express.
  2. Negotiation strategy: Indian officials have indicated that New Delhi has chosen to pursue negotiations rather than adopt a retaliatory approach, with a focus on securing a bilateral trade agreement with the US Livemint.
  3. Strategic opportunity: Some analysts suggest that India sees the differential in tariff rates (26% for India versus 54% for China) as a potential competitive advantage that could allow Indian exports to gain market share in the US NDTV Opinion.

Expert Analysis and Implications

Economic and foreign policy experts have offered varied perspectives on the potential for India-China cooperation against US tariffs:

  1. Structural constraints: The persistent border disputes and strategic competition between India and China create significant barriers to meaningful cooperation, even in the face of common economic challenges.
  2. Divergent interests: While China faces the most severe US tariffs at 104% and has adopted a confrontational stance, India faces a lower 26% tariff rate and may see strategic advantages in maintaining its growing partnership with the US.
  3. Competitive opportunity: As noted by analyst Agneshwar Sen from Ernst & Young India, the tariffs are “fundamentally reshaping the global trading system,” potentially creating opportunities for India to gain market share at China’s expense BBC.

Conclusion

The Chinese call for India to unite against US tariff “abuse” represents an interesting diplomatic overture amid heightened global trade tensions. However, given the complex geopolitical dynamics, including ongoing border disputes, trade imbalances, and India’s strategic calculations regarding its relationship with the US, significant cooperation between the two Asian powers appears unlikely in the immediate term.

India’s measured response to US tariffs suggests it is prioritizing bilateral negotiations with the US while potentially positioning itself to benefit from the comparative advantage created by the differential tariff rates imposed on Chinese versus Indian goods.

The situation remains fluid as global markets adjust to the implementation of these sweeping tariff measures and countries determine their long-term strategic responses to the changing trade landscape.

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