Image Source:
Source: scmp.com
Image content: The image depicts a large white cargo ship, the OOCL, docked at a port, with numerous shipping containers stacked on its deck. The ship is positioned in front of a row of red and white gantry cranes, which are used to load and unload the containers, while in the background stacks of shipping containers and vehicles can be seen.
Summary
The US and China have reached a trade deal, adjusting tariff rates on goods and parcels, but previous tariffs remain; Chinese exporters still face high effective tariff rates, and US investment plans by Chinese firms are being scaled back due to tariffs.
Key Points
- New tariff rates for Chinese goods shipped to the US are at least 30%, while American exports face 10% tariffs.
- Effective tariff rate for Chinese exporters is estimated to be around 50%, including previous tariffs.
- Tariff on small parcels from China and Hong Kong reduced to 54% from 120%, effective May 13, 2025.