China has formally challenged the Trump administration’s new 10% tariffs at the World Trade Organization (WTO), accusing the U.S. of violating key global trade rules. However, with the WTO’s dispute resolution system largely defunct, the case may have little immediate impact.
In a notice dated Tuesday and circulated to WTO members Wednesday, China condemned the tariffs as a clear breach of the General Agreement on Tariffs and Trade (GATT).
Tariffs Tied to National Security, Fentanyl Crackdown
Former President Donald Trump introduced the 10% blanket tariff on Chinese goods over the weekend, citing national security concerns and efforts to combat the flow of fentanyl into the U.S..
While Trump also announced a 25% tariff on Mexican and Canadian imports, those duties were later put on hold. However, the China-specific levies moved forward, prompting Beijing to impose countermeasures on U.S. energy exports, set to take effect on Feb. 10.
The White House has not yet commented on China’s WTO dispute.
WTO’s Dispute System in Limbo
While China may have a strong case, any WTO victory would likely be symbolic due to years of U.S.-led gridlock at the Geneva-based organization.
