China hits U.S. sorghum with 179 percent tariff

China is imposing a 179 percent tariff on U.S. sorghum, worth about $1 billion of imports to China a year.


The measure against U.S. imports comes a day after the U.S. Department of Commerce banned one of China's biggest tech companies from selling to U.S. firms.

The sorghum tariff, described as a "deposit" in a statement from China's Commerce Ministry on Tuesday, comes after a preliminary ruling from the ministry that concluded U.S. firms had "dumped" grain sorghum on the Chinese market, causing significant "damage" to domestic producers, Xinhua reported.

The two-month investigation found U.S. sorghum enjoyed government subsidies and the imports hurt Chinese farmers.

The tariff takes effect on Wednesday and importers will be required to pay deposits with Chinese customs at a rate of 178.6 percent.

U.S. exports of sorghum increased from 317,000 tons in 2013 to 4.76 million tons in 2017, according to Beijing's data.
 (UPI)
 17/4/18