Companies across Europe and the United Kingdom are complaining that there has been a “flood” of Chinese products into the market, as the country seeks to redirect goods meant for the United States, according to a Nikkei report.
Notably, the US has imposed flat 30 per cent tariffs on all Chinese goods. This is set to increase to 130 per cent from November 1, after Donald Trump hiked the duties and sent markets crashing. The EU on the other hand taxes goods that re deemed unfairly traded, rather than imposing a flat tax.
The report cited the latest announcement by UK-based chemical giant Ineos this week, which said it is lowering production and cutting jobs due to the demand slowdown. The company said it is cutting 20 per cent of the workforce at its Acetyls plant in Hull, England, and is closing two production units in Rheinberg, Germany.