The White House released a report on Thursday stating that more than 40 countries have assisted China in circumventing US tariffs by routing exports through nations with lower American import duties. The report names Canada, Mexico, India, and Japan among the countries involved.
According to the report, these countries have served as transshipment points for Chinese goods, allowing them to enter the US market with reduced or no tariffs. The practice undermines the effectiveness of US trade policies aimed at protecting domestic industries.
The White House did not specify the exact volume of trade affected but indicated that the practice is widespread. The report calls for stronger enforcement measures and closer cooperation with allied nations to address the issue.
This development comes amid ongoing trade tensions between the US and China, with both nations having imposed tariffs on billions of dollars worth of goods. The US administration has vowed to crack down on tariff evasion and is considering additional measures to prevent such circumvention.