China has warned that it could take countermeasures if the US imposes new tariffs following an investigation into alleged excess industrial capacity, highlighting continued trade tensions between the two countries despite their recent trade truce.
According to a Bloomberg report, Chinese Commerce Ministry spokesperson Huang Ling reiterated Beijing's opposition to the US investigation into China and other economies, saying Washington had launched the probe under the "pretext of overcapacity".
"We will continue to closely monitor and comprehensively assess subsequent US actions and reserve the right to take all necessary measures," Huang said at a regular press briefing on Thursday.
The warning from China came after a Bloomberg report mentioned that the US was considering a 7.5% tariff on Chinese goods following investigations into alleged excess capacity.
The move would be another step by the US President Donald Trump towards reviving his protectionist trade policies after the US Supreme Court struck down his earlier import tariffs.
The proposed levy would also bring US tariffs on Chinese goods to a level that Beijing said the two sides had agreed upon during earlier trade negotiations.
If Trump administration followed up with the move then it would restore Trump's second-term duties on China to around 20%.
China's warning comes despite a broader effort by Beijing and Washington to maintain a trade truce.
Chinese Foreign Minister Wang Yi called on the US to put bilateral relations back on the "right track" during a meeting with US Ambassador David Perdue on Wednesday.
Wang accused Washington of introducing a series of "negative measures on unfounded grounds", according to a statement issued by China.
In Trump administration in March launched an investigation into more than a dozen major trading partners under Section 301 of the Trade Act of 1974 over excess capacity concerns. It was one of two probes that the president's team used to replace his prior tariffs with more durable ones.
The Trump administration, earlier in July, had imposed a 12.5% tariff on Chinese goods, citing "inadequate efforts to address forced labor practices". Beijing criticised the move but didn't impose any retaliatory measures. It instead said that Washington had agreed to cap any additional duties on Chinese exports at 20%.
Trump will meet Chinese President Xi Jinping in Washington on September 24 and the administration is hoping to publish the results of the excess capacity inquiry before that.
Prabhakar Jha is a journalist and digital news editor with nearly a decade of experience in online media, specialising in breaking news, politics, national affairs. Having built his career across fast-paced digital newsrooms, he has developed a reputation for delivering accurate, timely, and reader-friendly stories while leading editorial teams during high-pressure news cycles. In 2026, he joined LiveMint as a Digital Content Producer. <br><br> A postgraduate in History from the University of Delhi, Prabhakar combines strong editorial judgment with a keen interest in public policy, governance, economics, and global affairs. Before joining LiveMint, he worked with leading digital publications, including News9Live and The Times of India, where he handled breaking news, copy editing, headline writing, live coverage, and newsroom coordination. <br><br> Beyond the newsroom, Prabhakar is passionate about long-form writing and storytelling. He has a particular interest in global affairs. An avid reader with a love for literary fiction, he also enjoys blogging, poetry, and working on creative writing projects.
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