U.S. coal, critical minerals and liquefied natural gas this week again emerged as a bull’s-eye in an escalating trade war between President Donald Trump and China.
While Trump in recent days backed off imposing tariffs on goods from Canada and Mexico, the president continues to push duties on Chinese goods, a move that’s already rattling the metals markets. China’s Ministry of Finance in a statementTuesday said Trump’s move to impose 10 percent tariffs on Chinese goods “violates the rules of the World Trade Organization.”
The ministry also said that, in response, it would impose a 15 percent tariff on U.S. coal — from anthracite to coking coal — and LNG, and a lower 10 percent tariff on crude oil, agricultural machinery, large-displacement cars and pickup trucks. The measures take effect Feb. 10.
The ministry also unveiled new export controls effective immediately on metal products, including tungsten, which is used in industrial and defense applications, and tellurium, a material used to make solar cells. Also restricted are materials tied to molybdenum, indium and bismuth, which is used in ammunition and alloys for defense.