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China Names New Trade Chief as U.S. Tariff Tensions Escalate

Business

Business Honor
16 April, 2025

Li Chenggang steps in to navigate global trade amid shifting economic landscapes.

In a strategic move to bolster its international trade efforts, China has appointed veteran diplomat Li Chenggang as its new chief trade negotiator, replacing Wang Shouwen amid ongoing tariff tensions with the United States.

The announcement comes as Beijing and Washington continue to exchange steep tariffs, with the U.S. currently imposing up to 145% duties on Chinese exports. In response, China has levied 125% tariffs on American goods, reflecting an increasingly complex global trade environment between the world's two largest economies.

Li brings over two decades of experience in international trade diplomacy. He most recently served as China’s ambassador to the World Trade Organization (WTO), where he represented Beijing’s stance in major global trade discussions. Li has also held senior roles at China’s Ministry of Commerce and has legal and economic training from Peking University and the University of Hamburg.

“Li Chenggang deep understands of international law and trade will be instrumental as China works to maintain stable global trade partnerships,” a Ministry of Commerce spokesperson said.

China’s economy posted a 5.4% annual growth rate in the first quarter of 2025, largely driven by strong exports. However, analysts warn that the expanding tariff regime could dampen growth prospects in the months ahead. Despite external pressures, officials remain confident that China's domestic market and expanding ties with Europe and the global south will help offset the impact of reduced trade with the U.S.

In addition to the leadership shift, Beijing has reinforced export controls on rare earth elements, critical components in sectors ranging from electronics to aerospace, reinforcing its position in the global supply chain.

Li's appointment signals China’s intent to maintain open dialogue while protecting its trade interests in a changing economic climate. His role will be crucial in shaping future trade frameworks that balance global cooperation with national priorities.