What were China tariffs before Trump?
Before the presidency of Donald Trump, the relationship between the United States and China was relatively stable, with trade policies that had been in place for years. China tariffs, like those imposed by any country, were designed to protect domestic industries and regulate international trade. However, the level and nature of these tariffs varied significantly during this period.
During the early 2000s, China’s tariffs were relatively low compared to other major economies. For example, the average tariff rate on imports into China was around 9.8% in 2001, which was significantly lower than the average rate of 12.2% for the United States. This low level of tariffs was primarily due to China’s membership in the World Trade Organization (WTO), which required the country to reduce its tariffs and open its markets to foreign competition.
One of the most notable aspects of China’s tariffs before Trump was the differential treatment of products from different countries. For instance, China imposed higher tariffs on goods from the United States than from other WTO members. This differential treatment was a result of the “non-market economy” status that China maintained under WTO rules, which allowed the country to set higher tariffs on imports from countries that did not operate under market principles.
In addition to these general tariffs, China also employed a variety of non-tariff barriers to protect its domestic industries. These barriers included quotas, subsidies, and import licensing requirements. For example, China imposed quotas on the import of agricultural products, such as cotton and soybeans, to protect its domestic agricultural sector.
Despite the relatively low level of tariffs and the existence of non-tariff barriers, trade between the United States and China continued to grow. In 2018, before the implementation of the Trump administration’s tariffs, the United States had a trade deficit with China of approximately $375 billion. This deficit was driven by a combination of factors, including China’s undervalued currency, intellectual property theft, and unfair trade practices.
Overall, the China tariffs before Trump were a complex mix of low general tariffs, higher tariffs on goods from the United States, and various non-tariff barriers. These policies were designed to protect China’s domestic industries while also fostering economic growth and integration with the global economy. However, the trade relationship between the two countries was strained by issues such as intellectual property theft and unfair trade practices, which would eventually lead to the imposition of new tariffs under the Trump administration.
