BEIJING (Reuters) – China on Tuesday suspended the soybean import qualifications from three U.S exporters and halted the imports of U.S. lumber, increasing its retaliatory pressure against U.S. tariffs in the start of an all-out trade war.
The suspension comes just hours after China imposed import levies covering $21 billion worth of American agricultural and food products.
The three U.S. companies affected are CHS Inc, Louis Dreyfus Company Grains Merchandising LLC and EGT, the customs department said in a statement.
Customs said it detected ergot and seed coating agent in imported U.S. soybeans while the suspension of U.S. lumber imports was due to the detection of small worms, aspergillus and other pests.
China’s retaliatory measures were in response to the extra 10% duty U.S. President Donald Trump threatened the world’s second-largest economy with last week that entered into force on March 4, resulting in a cumulative 20% tariff in response to what the White House considers Chinese inaction over drug flows.
(Reporting by Mei Mei Chu and Ella Cao, Editing by Louise Heavens and David Evans)
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