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China Urges 'Caution' After Mexico Raises Non-FTA Steel Tariffs

China’s commerce ministry is paying “close attention” to a decision by Mexico in August to raise tariffs on imports of steel and other items from non-free trade agreement countries, a ministry spokesperson said last week. “Although this measure does not…

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target specific countries,” China is monitoring its impact, the spokesperson said, according to an unofficial translation. “Judging from historical experience, raising tariffs will increase the production costs of downstream industries and reduce consumer welfare," the spokesperson said, adding that China hopes Mexico "will adhere to the principles of free trade and use such measures with caution.”