China Eliminates Import Tariffs on Soya from 5 Neighboring Countries

China eliminated tariffs on the import of soya from Bangladesh, India, Laos, South Korea and Sri Lanka

China eliminated tariffs on the import of soya from Bangladesh, India, Laos, South Korea and Sri Lanka, the Finance Ministry in Beijing announced on Tuesday, amid heightened trade tensions with the United States.

The ministry published on its website an extensive list of new tariffs that will come into effect from July 1 on imports from these five countries.

The authorities have reduced duties on most of the products, such as fish and flowers, and have eliminated those for soya, which earlier was subject to a 3 percent tariff.

The measures come after Beijing imposed, in response to the protectionist policies of the United States under President Donald Trump, additional 25 percent tariffs on $50 billion worth of US products, among them soya.

Soya is important in preparing compound feed, so increasing tariffs on supplies from the US would increase costs on farms, and would raise the final price of food products such as meat and milk.

Tensions between the world’s two largest economies have intensified due to tariffs imposed by Washington on Chinese goods, to which China has been responding in kind, and the failure in negotiations between the two countries to avoid a trade war.

While China has expressed unwillingness to start a trade war with the US, it has said it would take appropriate measures to protect its interests and defend free trade.

Source: Latin American Herald Tribune