China warns countries against striking trade deals with U.S. at its expense... China accused Washington of abusing tariffs and warned countries against striking a broader economic deal with the U.S. at its expense, ratcheting up its rhetoric in an escalating trade war between the two countries. Beijing will firmly oppose any party striking a deal at China’s expense and “will take countermeasures in a resolute and reciprocal manner,” its commerce ministry said.
Meanwhile, China is shifting away from traditional tariffs and increasingly targeting U.S. firms with non-tariff trade weapons, analysts say, signaling a more strategic and punitive phase in the ongoing economic conflict. Beijing is also backing efforts by major Chinese e-commerce firms like Alibaba and JD.com to pivot exporters toward domestic markets, aiming to mitigate economic damage from U.S. tariffs and boost internal demand. While the shift aligns with broader state efforts to stimulate consumption after years of weak growth, analysts warn exporters may struggle to appeal to more cost-conscious Chinese consumers.
Japan considering soybean, rice concessions in U.S. tariff talks... Japan is considering increasing its soybean and rice imports as a concession in trade negotiations with the U.S. over President Donald Trump’s sweeping tariffs, Japan’s Yomiuri daily reported. In the first round of bilateral talks last Wednesday, U.S. negotiators brought up automobiles and rice as areas where they said Tokyo puts up market barriers, and they demanded that Japan import more meat, fish products and potatoes, the newspaper said.
Trump administration details on plans to levy Chinese vessels... The Trump administration introduced new port fees targeting Chinese-built and Chinese-operated ships as part of a broader effort to promote domestic shipbuilding and reduce China’s dominance in global maritime trade. The fees are a response to findings that China leverages unfair trade practices to dominate the shipping and shipbuilding sectors.
The U.S. Trade Representative proposal is a departure from its initial iteration, which suggested charging fees of at least $1 million per ship each time it called at a U.S. port. The proposal now recommends that fees be levied based on tonnage. Another major deviation is that the USTR is now proposing that fees be charged per voyage, instead of per port call. Full details.
U.S, India reach terms of reference for proposed trade accord... India and the U.S. have finalized terms of reference for a proposed bilateral trade agreement covering 19 chapters on issues like tariffs, goods, non-tariff barriers and customs facilitation, official sources said. A three-day round of talks will begin in Washington on Wednesday to resolve pending issues during President Trump’s 90-day tariff pause. India’s chief negotiator, Additional Secretary in the Department of Commerce Rajesh Agrawal, will lead the team for the first in-person talks between the two countries. Vice President JD Vance will meet Indian Prime Minister Narendra Modi in New Delhi today.
Of note: The U.S. is looking at duty concessions in sectors like certain industrial goods, automobiles (electric vehicles particularly), wines, petrochemical products, dairy and agricultural items such as apples, tree nuts and alfalfa hay; India may look at duty cuts for labor-intensive sectors like apparels, textiles, gems and jewelry, leather, plastics, chemicals, oil seeds, shrimp and horticulture products.
Trump warns allies on ‘non-tariff cheating’ despite tariff pause... On Sunday, President Donald Trump posted an eight-point list of alleged “non-tariff cheating” practices he said are harming U.S. trade interests, even as his administration temporarily paused reciprocal tariffs for most U.S. allies — excluding China.
Trump’s eight-point “non-tariff cheating” list:
1. Currency Manipulation – Devaluing currencies to undercut U.S. exports.
2. VATs as Hidden Tariffs – Foreign VAT systems that refund exports but tax imports.
3. Dumping Below Cost – Undercutting competitors by selling products abroad at losses.
4. Export & Government Subsidies – State aid distorting global competition.
5. Protective Agricultural Standards – Citing EU bans on GE crops as disguised protectionism.
6. Technical Barriers to Trade – Referencing Japan’s “bowling ball” car test.
7. IP Theft & Counterfeiting – Claiming over $1 trillion lost annually from IP violations.
8. Transshipping to Evade Tariffs – Redirecting goods through third countries to bypass duties.
The warning coincides with renewed trade talks with Japan, South Korea and India. Trump’s message reiterates that non-tariff practices are just as damaging as formal duties. While most allies enjoy a 90-day tariff reprieve, Trump emphasized continued scrutiny of trade tactics he views as unfair — particularly by China.
Some Trump officials weigh exporter tax credit to offset tariff damage... Some U.S. officials are considering a new exporter tax credit to compensate U.S. manufacturers for export losses caused by retaliatory tariffs. For example, if a company sees a drop in exports due to foreign tariffs, it could receive an equivalent tax credit to cushion the impact. Unlike traditional business tax breaks that incentivize specific investments, this credit would aim to reverse damage caused by U.S. trade policies.
Critics argue the plan contradicts the 2017 Trump tax reform, which simplified the corporate tax code by eliminating special breaks in exchange for a lower 21% rate. JPMorgan CEO Jamie Dimon warned this kind of tax carveout could erode the reform’s benefits, potentially forcing Republicans to raise the corporate tax rate to cover revenue losses.
More broadly, opponents argue the move would exacerbate the political distortions caused by tariffs, encouraging lobbying for subsidies and undermining overall economic competitiveness. Naysayers note an export credit would be a second policy mistake, compounding the original error of broad tariffs.