In continuation with its on-going trade war with the United States, China is drawing up plans to reduce tariffs on more than 8,500 goods, including chemicals, farm products and metals imported from India and some other Asian countries, according to a The Economic Times report.
In a tweet on Wednesday, China’s ambassador to India Luo Zhaohui wrote:
“China will reduce or cancel tariffs on imports of 8,549 types of goods from India, South Korea, Bangladesh, Laos & Sri Lanka.
The goods include chemicals, agricultural and medical products, soyabean, clothing, steel & aluminum products. Good news to help reduce trade imbalance.”
According to the ET report trade pundits are viewing the Chinese move as a strategic one.
Notably, when most of the mentioned items when imported from the US, had higher tariffs.
Earlier on June 17, China had stated that it would impose additional tariff of 25 per cent on soyabeans, chemical products, and medical equipment imported from the US.
As per media reports, China will reduce tariffs on soybean imported from India, South Korea, Bangladesh, Laos, and Sri Lanka from the current three per cent to zero.
India’s exports to China in 2017-18 amounted to $13.3 billion while imports stood at $76.2 billion, leaving a trade gap of $62.9 billion, or more than Rs 4.3 lakh crore.