US says dozens of countries helped China dodge Trump's tariffs

The White House released a report stating that over 40 nations have assisted China in evading US tariffs by routing exports through countries with lower import duties. Countries like Canada, India, Mexico, Japan, and South Korea are among those named by the White House for their role in helping China avoid tens of billions of dollars in tariff costs.

This practice, known as transshipping, involves moving goods through intermediary nations to benefit from lower duties. US trade adviser Peter Navarro emphasized that this tactic has cost American jobs and significant revenue. The Chinese embassy in Washington responded by stating that trade wars benefit no one and that the US should refrain from targeting third-party interests through unilateral actions or agreements.

The White House, in its report, criticized China for using third countries as a stopover point and repackaging goods to conceal their origins, describing it as "fraud cloaked in paperwork." The White House also highlighted the use of AI tools to detect transshipping activities. As President Donald Trump and Chinese leader Xi Jinping are set to meet in Washington in September, the report adds to the tensions between the two countries, which have been engaging in a cycle of sanctions.

Despite a temporary pause in tariffs following talks in May 2025, both sides have continued to exchange restrictions, including on humanoid robots and drone exports. In April 2025, Trump had imposed levies on numerous trading partners in an effort to boost American jobs and the economy, though these measures were later overturned by the Supreme Court.

However, Trump has continued to introduce new tariffs using alternative legal methods to pursue his tariff policy.