U.S. Senator Marco Rubio (R-FL) has introduced the Stopping Adversarial Tariff Evasion Act aimed at closing a loophole that allows Chinese manufacturers to evade U.S. tariffs by shifting production to third-party countries like Mexico, Vietnam, and Malaysia.
This “country hopping” strategy enables Chinese companies to bypass tariffs imposed during the Trump administration, flooding the U.S. market with cheaper goods.
Chinese manufacturers have exploited favorable trade terms in these countries to continue exporting products to the U.S. without being subject to the same tariffs imposed on goods made in China. Rubio’s legislation seeks to ensure that tariffs are applied to goods manufactured by foreign adversaries, regardless of where the production takes place.
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“America’s manufacturing sector has faced growing challenges from unfair foreign competition, particularly from Communist China,” said Senator Rubio. “The Chinese Communist Party has eroded our industrial base for decades, and now it is bypassing the laws put in place to halt it. My legislation would ensure goods produced by our adversaries are treated as such, no matter where they’re made.”
Rubio stressed the importance of protecting American industries and workers from these predatory practices, stating, “America cannot afford to surrender its economic future to Beijing.”
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This move comes after Rubio’s previous efforts to address China’s influence on global supply chains, including a report on China’s “Made in China 2025” industrial policy and legislation targeting “country hopping” in the auto manufacturing sector. The Stopping Adversarial Tariff Evasion Act is the latest step in Rubio’s broader push to counter China’s economic strategies.
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