The CEO of the National Retail Federation, Matt Shay, comments pricing tensions and how they could put small businesses in danger.
China gave up a 125% rate on ethane imports from the United States on Tuesday, according to a Reuters report.
China had initially imposed the price Earlier this month as part of his reprisals against the price campaign of the Liberation Day of President Donald Trump. China is responsible for the purchase of approximately half of America’s ethane exports each year, according to the US Energy Information Administration.
Chinese companies that rely on American ethane include satellite chemicals, SP chemicals, Sinopec, Sanjiang Fine Chemical and Wanhua Chemical Group, while the main American exporters are business products and energy transfer.
Ethane joins a growing list of products that China has granted pricing exemptions for in the middle of the current trade war with Washington.
Trump praises the return of “ American dream ” in the announcement of the historical price
China has given up prices on several major products in the midst of a trade war with Washington. (Anthony Wallace / AFP / Andrew Harnik / Evaristo SA / AFP / Getty Images)
Last week, Chinese officials granted exemptions for pharmaceutical products, micropuices and airplane engines and asked companies to identify the critical goods they need without direct debit.
The news of the dismissal of the ethane price comes after the dry American treasure. Scott Bessent insisted that Trump’s prices exerted major pressure on Beijing. Speaking at the White House on Tuesday morning, Bessent said the prices cost millions of jobs in China if that does not change course.
“I think that over time, we will see that Chinese prices are not durable for China,” said journalists. “I have seen a very large number in the past few days showing that if these figures remain, the Chinese could lose 10 million jobs very quickly. And even if there is a drop in prices that they could lose 5 million jobs.”
The secretary of the Treasury Scott Bessent speaks while the press secretary of the White House, Karoline Leavitt, looks during the daily briefing in the information room of Brady de la Maison Blanche in Washington, DC, on April 29, 2025. (Photo of Mandel Ngan / AFP via Getty Images / Getty Images)
“So don’t forget that we are the country of the deficit,” said Bessent. “They sell us almost five times more goods than we sell to them. So there will be survival to remove these prices. They are not durable for them.”
President Donald Trump announced generalized rates against a multitude of countries on April 2, after having systematically condemned the commercial practices of other countries and having accused them of engaging in unfair commercial practices against the United States
The administration then fell its initial proposal and announced on April 9 that it would immediately make prices on Chinese goods At 145%, but fell back reciprocal prices on other countries for 90 days to a basic line of 10%. In response, China continued to increase its 125%American products.
President Donald Trump has imposed radical rates on China and other countries earlier this year.
Bessent also indicated that a trade agreement with India, and perhaps other Asian countries, could emerge in the near future.
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“They were the most to come in terms of competitors,” said Bessent. “As I mentioned, the vice-president Vance was in India last week. I think he and Modi made very good progress. So I could see some announcements on India.”
Reuters contributed to this report.