The U.S.-China Tariff War: Global Economic Dilemmas Under Hegemonic Logic

HOA
By HOA
7 Min Read

Zhao Xing, Chinese ambassador to Afghanistan

On February 1, 2025, the U.S. government unilaterally imposed a 10% tariff on Chinese imports under the pretext of addressing the fentanyl issue. This move, carried out under the guise of national security, is in essence a blatant act of trade protectionism, exposing the hegemonic nature of the United States. Not only does it “harm the enemy by a thousand while injuring itself by eight hundred,” but it also runs counter to global cooperation. Looking at the history of the U.S. abusing national tools and trade protectionist policies, four major transgressions can be identified in its renewed tariff war:

The first is to baselessly blame-shift and make absurd accusations. The decison of U.S. to impose tariffs on China under the pretext of the fentanyl issue lacks any factual basis. The fentanyl crisis is fundamentally an internal problem of the United States. Out of humanitarian concern, China has supported the U.S. in combating fentanyl and was the first country in the world to officially classify all fentanyl-related substances as controlled. However, the U.S. has distorted the truth, attempting to shift the blame for its own failures in social governance onto China and to disguise its tariff war as “legitimate.”

The second is to violate economic principles which will ultimately suffer from inflation. During the first round of the U.S.-China tariff war in 2018, American consumers and businesses bore more than 90% of the costs. By 2024, the U.S. accounted for only 11% of China’s total trade, and many Chinese exports to the U.S. could not be replaced in the short term. The new tariffs will inevitably result in higher costs for American businesses and consumers, further driving up domestic prices, increasing the cost of living for ordinary Americans, and burdening enterprises with rising production expenses.

The third is to push for decoupling and supply chain disruptions in an attempt to contain China’s development. The core goal of U.S. tariff policy is to drive up China’s production costs, forcing the relocation of industrial chains overseas or even back to the U.S. It has also linked the tariff war with technological sanctions, targeting “Made in China 2025” and high-tech industries. However, since 2018, China’s economy has maintained steady growth, while its technology and cultural industries have thrived, demonstrating strong industrial resilience and robust technological advancement. The U.S. trade war, decoupling, and other restrictive measures run counter to historical trends and lack public support. Those containment strategies against China are bound to fail.

The fourth is the application of double standards, revealing U.S. political manipulation and hypocrisy. The U.S. imposes tariffs under false pretenses but ultimately targets China. This selective approach essentially uses tariffs as a coercive tool to pressure its allies into following its lead in containing China. While the U.S. threatens the EU with automobile tariffs, it spares countries such as South Korea and Japan, which run even larger trade surpluses with the U.S. This blatant favoritism fully exposes its hypocrisy in selectively suppressing certain countries to maintain hegemony.

In response to the United States’ unreasonable actions, China resolutely defends its legitimate rights and interests. On one front, China is enhancing its policy toolkit to implement precise countermeasures against the U.S. China announced  tariffs on American products such as crude oil and agricultural machinery, effectively targeting key U.S. industries while minimizing disruptions to the global supply chain. Simultaneously, China remains committed to market diversification by expanding cooperation with Belt and Road Initiative (BRI) partner countries and Global South nations. In 2024, China’s trade with BRI partner countries grew by 6.4%, accounting for 50.3% of its total trade for the first time. Trade with ASEAN and BRICS countries also experienced rapid growth. The Global South’s markets have flourished, now representing over 40% of the global economy and serving as significant drivers of global economic growth. Furthermore, China steadfastly supports the multilateral trading system and counters U.S. unilateralism and trade protectionism under the World Trade Organization (WTO) framework. As a crucial engine of global economic growth, China advocates for inclusive economic globalization, fosters new momentum and advantages for world economic development, promotes the concept of “a community with a shared future for mankind” to collaboratively address global challenges.

In opposing U.S. hegemony, China and Afghanistan share common ground. Over two decades ago, the U.S. invasion brought immense suffering to Afghan society, and even after withdrawal, it continues to seize Afghan assets and impose unjust sanctions. The new U.S. government continues to interfere Afghanistan’s post-war reconstruction through various means: exerting undue pressure on the Afghan government to return U.S. military equipment left behind, shirking responsibilities by cutting aid and thus resulting in a sharp depreciation of the Afghan Afghani, and spreading misinformation to undermine regional peace and stability. Recently, the U.S. statements regarding Gaza have blatantly violated international law, further exposing its hegemonic nature and drawing widespread condemnation from the international community including Afghanistan. We advise the U.S. to refrain from actions that harm others without benefiting itself, lest it ends up lifting a rock only to drop it on its own feet.

The world is undergoing major changes unseen in a century, with unilateralism and protectionism rampant, severely impacting multilateralism and the multilateral trading system. At this critical juncture—cooperation or confrontation, openness or isolation, mutual benefit or beggar-thy-neighbor policies—China stands ready to collaborate with Afghanistan and other nations to uphold openness and inclusiveness, oppose protectionism, and promote a fairer and more equitable global governance system. By doing so, China aims to contribute stability and sustainable momentum to global economic growth and build a future of mutual benefit for all.

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