In a statement, General Motors has called on the US and China to pursue long-term, lasting trade policies in the face of threats by each country to impose a total of $50 billion in import tariffs on each other’s goods.
“We support a positive trade relationship between the US and China, and urge both countries to continue to engage in constructive dialogue and pursue sustainable trade policies,” the Detroit-headquartered company said in a statement this week. “We continue to believe both countries value a vibrant auto industry and understand the interdependence between the world’s two largest automotive markets.”
China has said it would impose a 25% tariff on 106 US products, including automobiles, if the Trump administration goes ahead with plans to impose duties of 25% on more than 1,300 vehicle classes and automotive component areas, seats, suspension springs, hinges and precious metals including nickel and cadmium for electric vehicle batteries.
The US list of duty-liable products is subject to public consultation and possible amendment before any tariffs are imposed.
The US-China trade dispute was sparked off by president Donald Trump imposing a 25% tariff on imports of many steel products into the US and 10% on aluminium shipments from most countries starting in late March 2018.
GM sold more than 4 million vehicles in China last year, up 4.4% from 2016. This year in China, GM and its joint-venture partners plan to introduce 15 new and refreshed models with an emphasis on the SUV, MPV and luxury vehicle segments. The carmaker sells under the Baojun, Buick, Cadillac, Chevrolet, Jiefang and Wuling brands in China.
GM also exports vehicles to China from the US, including Cadillacs, and imports the Buick Envision SUV and Cadillac CT6 to the US from China.