A report from the United States revealed that China has withdrawn a high tariff of 125% on certain U.S. imports such as semiconductors. While avoiding a direct response, China is drawing a line by stating that it has never negotiated on tariff issues with the U.S. Attention is focused on whether the U.S.-China trade war can find an exit.
On the 25th, U.S. CNN reported that Chinese authorities recently withdrew a 125% retaliatory tariff on eight types of U.S. semiconductors, excluding memory chips. CNN confirmed this through three semiconductor import agencies in southern Shenzhen. An official from one import agency said, “I learned that the tariff was exempted on Thursday,” adding, “I only found out after submitting the declaration form, and this news is spreading quickly.”
Shenzhen customs authorities are also said to have notified some companies of this. A supply chain company in Shenzhen stated on its social media account on the 24th, “Fantastic news,” saying, “We received a new notification from Chinese customs that eight tariff codes related to semiconductors are exempt from additional tariffs on U.S. imports,” and that “this means that when imported to China, the tariff is reduced to 0%.”
However, China has not confirmed this. On the same day, Spokesperson for the Ministry of Foreign Affairs, Guao Jiakun, avoided answering during a regular briefing, saying, “I do not know the specific situation. Please ask the relevant part.” The Chinese economic media, Caijing, reported that several semiconductor corporations based in Shanghai are implementing tariff exemption measures, but the article was removed about three hours later. Chinese state-run media are also not reporting on the issue.
Reports continue to emerge that China intends to exempt tariffs on some U.S. imports. Bloomberg reported that China is considering a plan to exempt tariffs on certain U.S. imports, such as medical equipment and industrial chemicals like ethane. Some factories in China, the world's largest plastic producer, rely on U.S.-made ethane. There is also a high dependency on advanced medical equipment such as MRI machines from U.S. companies like GE Healthcare.
There are also discussions about tariff exemptions related to aircraft leasing. This is because Chinese airlines, which use aircraft leased from companies rather than owning them directly, face significant financial burdens. Goldman Sachs has also predicted that if U.S.-China trade negotiations proceed positively, tariffs on liquefied natural gas (LPG) could also be exempted, in addition to ethane.
There is attention on whether the U.S. and China will engage in negotiations. On the 24th, U.S. President Donald Trump, when asked about with whom China is conducting trade talks, said, “They met this morning,” indicating that the U.S. and China had met. However, on the same day, Spokesperson Guao noted, “The U.S. and China have never negotiated or held discussions regarding tariff issues,” and stated, “The U.S. should not be misled.”