Chinese producers expected to beat US tariffs by rerouting goods

Experts say practice is already widespread in some industries

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Experts expect the Chinese goods will enter the U.S. market illegally, but under the guise of another country.

TOH HAN SHIH, Contributing writer

HONG KONG -- As the trade war between China and the U.S. festers, business leaders and analysts say Chinese producers are likely to circumvent import tariffs by rerouting goods, raising the question of whether such taxes can be an effective way to equalize trade relations.

U.S. President Donald Trump won the election in 2016 in part due to a pledge to make trade fairer for his country. In January, he took Beijing to task by announcing tariffs on Chinese washing machines and solar panels. By Sept. 7, Trump told reporters he was ready to slap tariffs on an additional $267 billion in Chinese goods. This was on top of an earlier announcement of duties on $200 billion in imports the Trump administration was already considering.

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