The White House has formally accused more than 40 countries of assisting China in evading US tariffs. These nations allegedly helped China sidestep American import duties by routing exports through countries that faced lower tariffs.
This practice, known as transshipping, involved transferring Chinese goods through a third country before they reached their final US destination. The White House report specifically named Canada, India, Mexico, Japan, and South Korea among those involved. This evasion cost the US tens of billions of dollars in lost revenue and impacted American jobs, according to White House trade adviser Peter Navarro.
This development adds significant strain to global trade relations, particularly between the US and China. Ghana, as a developing economy deeply integrated into global supply chains, watches such trade disputes closely. Disruptions in major trade flows can affect commodity prices and investment patterns, potentially influencing Ghana's own trade balance and economic growth projections. The broader context of trade wars often leads to increased uncertainty for emerging markets.
A spokesperson for the Chinese embassy in Washington stated that "trade wars have no winners." The spokesperson reiterated China's opposition to US tariff measures and the use of state power to target Chinese companies. They also emphasized that any unilateral actions concerning transshipped goods must not harm the interests of third parties.
The White House report estimates that between $30 billion and $300 billion worth of goods were moved through countries with lower tariff rates. China allegedly used third countries as stopovers, repackaging goods to conceal their true origin and secure lower tariffs. The report described this process as "fraud cloaked in paperwork," highlighting its growing sophistication and scale.
The US has deployed advanced artificial intelligence tools to detect these transshipment efforts. This technological approach underscores the seriousness with which Washington views the tariff evasion. The report suggests a significant escalation in the ongoing trade conflict between the world's two largest economies.
This accusation is expected to become a major point of contention as US President Donald Trump prepares to meet Chinese leader Xi Jinping in Washington. Chang Pao Li, an associate professor of economics at Singapore Management University, noted that the report could strengthen the US bargaining position. Washington may argue that China maintained US market access indirectly, requiring any trade settlement to address third-country routing.
Professor Li also warned that economies with deep integration into Chinese supply chains might face additional risks and costs. While some changes in trade patterns reflect legitimate supply-chain reorganization, the implication is that many instances are deliberate evasion. This could lead to increased scrutiny on goods originating from these intermediary countries.
Despite a pause in most tariffs following talks in May 2025, both Washington and Beijing have continued to impose sanctions. These include restrictions on humanoid robots shipped to the US and tighter Chinese curbs on drone exports. The ongoing tit-for-tat measures demonstrate persistent trade tensions.
In April 2025, President Trump introduced sweeping levies on numerous US trading partners, driven by his belief that tariffs boost American jobs and the economy. Although some of these sanctions were later struck down by the US Supreme Court, Trump has consistently introduced new tariffs using alternative legal mechanisms. This commitment to tariffs signals a continued aggressive stance on trade policy.