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Now, let's get into the nitty-gritty and talk about actual tariff rates and the goods that were commonly traded. Before Trump, the average tariff rates between the US and China were relatively low, thanks to the WTO. The US applied a Most Favored Nation (MFN) tariff rate to most Chinese goods, which meant that China received the same tariff treatment as other WTO members. The specific rates varied depending on the product, but they were generally in the single digits. This meant that the taxes applied on these goods weren't too high. Now, what kind of goods were we talking about? Well, the US imported a wide range of products from China, including electronics, textiles, machinery, and toys. China, on the other hand, imported goods like soybeans, aircraft, and industrial equipment from the US. The tariff rates on these goods were also relatively low. However, there were some exceptions. The US sometimes used tariffs to protect specific industries or to address trade imbalances. For example, there might have been higher tariffs on certain types of steel or agricultural products. These were typically targeted and designed to address specific concerns. The overall picture was one of increasing trade and decreasing tariffs. The goal was to promote economic growth and cooperation. However, there were concerns about the trade deficit and intellectual property rights. The trade deficit between the US and China was a long-standing issue before the Trump era. The US imported significantly more goods from China than it exported to China. This imbalance led to some political tensions and calls for changes in trade policy. Additionally, there were concerns about intellectual property rights. The US accused China of not adequately protecting American patents, trademarks, and copyrights. This was a major point of contention and led to negotiations and legal battles. But, even with these issues, the overall trend was towards lower tariffs and increased trade before Trump came into the picture.
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