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American Focus > Blog > Economy > Factbox-China exempts some US imports from tariffs
Economy

Factbox-China exempts some US imports from tariffs

Last updated: May 9, 2025 1:26 pm
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Factbox-China exempts some US imports from tariffs
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China has recently made headlines by granting tariff exemptions on certain U.S. goods, including pharmaceuticals, microchips, and aircraft engines. This move comes as a response to President Donald Trump’s tariffs imposed in April, which prompted China to retaliate with a staggering 125% tariff on American products.

According to sources familiar with the matter, China has established a “whitelist” of U.S.-made products that are exempt from these retaliatory tariffs. Companies have reported being able to import these exempted goods into China without having to pay the hefty duties.

Among the companies that have benefited from these tariff exemptions are healthcare giants like Siemens Healthineers and Diasorin. Siemens Healthineers CEO Bernd Montag revealed that certain products, such as reagents used in their diagnostics business, have been exempted from Chinese tariffs. Without these exemptions, the costs of importing these essential medical supplies would more than double.

Similarly, Diasorin, an Italian diagnostics firm, has stated that their goods have often passed through Chinese customs without being subjected to tariffs. Additionally, pharmaceutical companies have also reported being able to import drugs with exemptions from the retaliatory tariffs, as confirmed by the American Chamber of Commerce in Beijing.

In the semiconductor industry, a source at a memory chip design firm disclosed that the China Semiconductor Industry Association (CSIA) had granted waivers on imports of eight types of microchips. However, it’s important to note that while analogue chips are exempted, memory chips are not included in the waiver.

On the aerospace front, French engine maker Safran announced that China had decided to grant exemptions for certain aircraft parts, including jet engines. This move is seen as a positive development for the aviation industry, allowing companies to continue operations without the burden of additional tariffs.

See also  US goods imports tumble 20% in April as Trump’s tariffs disrupt trade

In the chemical sector, China has waived tariffs on ethane imports, as confirmed by sources with knowledge of the matter. This exemption is expected to benefit companies involved in the production of chemicals and other related industries.

Overall, these tariff exemptions mark a significant development in the ongoing trade tensions between the U.S. and China. By creating a whitelist of exempted products, China aims to alleviate the financial burden on certain industries and foster smoother trade relations with its American counterparts. As companies continue to navigate the complexities of international trade, these exemptions provide a glimmer of hope for a more stable and mutually beneficial trade environment.

TAGGED:ExemptsFactboxChinaimportsTariffs
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