China Finds New Way to Circumvent US Tariffs

The article focused on the strategy employed by Chinese exporters to circumvent U.S. tariffs by exporting semi-finished products to other countries such as Cambodia, then making simple modifications before re-exporting them to the United States, claiming they are products from those countries. This approach is used to pretend that the product has undergone industrial transformation in a third country, allowing exporters to avoid the tariffs imposed on Chinese goods. Reports estimate that these illegal shipping operations cause the United States to lose between $19 billion and $26 billion annually, with some trade activities valued between $40 billion and $303 billion per year. The U.S. administration recommends using artificial intelligence tools at the borders, tightening country-of-origin standards, and enhancing international cooperation to monitor and trace supply chains, aiming to reduce tariff evasion and combat ongoing circumvention practices that harm American manufacturers and weaken China's position as a global industrial hub.

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