China's Ministry of Commerce: Firmly Opposes U.S. Plan to Impose Additional 7.5% Tariffs Citing "Overcapacity"

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New Commerce Ministry spokesperson Huang Ling said on August 27 that China firmly opposes the US plan to impose an additional 7.5% tariff on Chinese imports under an 'overcapacity' rationale — and reserves the right to take all necessary countermeasures.

01

What is the US proposing, and who does it target?

The US government is considering an additional 7.5% tariff on imports from China, citing alleged "overcapacity."
The tariff initiative stems from a Section 301 investigation covering not just China but 16 economies in total.
This means → this is not a one-off levy on China but a systematic move using "overcapacity" as a blanket justification to pressure multiple countries at once.
02

How did China respond?

Spokesperson Huang Ling stated China's position plainly: firm opposition, with all necessary countermeasures reserved.
She called the US approach — politicizing trade issues — a textbook case of unilateralism and protectionism.
Assessing overcapacity, she said, requires a "comprehensive, objective, and fair" lens — not one that masks protectionism.
03

What does China make of the 'overcapacity' label?

Beijing had already published a formal position paper — "China's Position on the So-Called 'Overcapacity' Issue" — laying out its arguments systematically.
In plain terms = China views the "overcapacity" claim as a pretext for trade protection; its manufacturing scale reflects market competitiveness, not a problem to be penalized.
The Commerce Ministry said it will continue to closely monitor and fully assess subsequent US actions.
04

What to watch next?

Two key markers ahead: whether the US actually moves forward with the tariff, and what specific countermeasures China selects.
This means → both sides are in a "cards shown, not yet played" phase; the real impact depends on what actually lands.
A side note: this press conference was also Huang Ling's debut as Commerce Ministry spokesperson; she currently serves as a deputy-director-level inspector in the Ministry's e-commerce and IT division.

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