These NC businesses and exports to China are subject to new tariffs and controls
In response to new tariffs announced by President Donald Trump, China raised the tariffs on U.S. exports by 50%, affecting North Carolina businesses.
Along with the higher tariffs (taxes on products entering a country), which were announced Wednesday, April 9, China added several companies to its export control and “unreliable entity” lists. Chinese firms are prohibited from supplying companies on the export control list with dual-use items that have military and civilian applications. Companies classified as unreliable entities, including some North Carolina-based companies, are barred from making new investments in China or engaging in import and export activities related to the country.
Recent tariff escalation by the United States “is a mistake on top of a mistake, which seriously infringes on China’s legitimate rights and interests and seriously damages the rules-based multilateral trading system,” China’s State Council Tariff Commission wrote in a statement.
Here’s what to know about the latest move from China.
Which North Carolina items will be affected?
Higher tariffs on U.S. exports to China, now at 84% as of early April 9, are scheduled to go into effect shortly after midnight Thursday, April 10 in China.
In March, China shared plans to place a 10% tariff on agricultural products including:
- Sorghum
- Soybeans
- Pork
- Beef
- Aquatic products
- Fruits
- Vegetables
- Dairy products
China also planned to place a 15% tariff on chicken, wheat, cotton and corn.
North Carolina exported nearly $6 billion of goods to China last year, according to the United States Trade Representative, and the state’s agricultural industry would likely be affected by these tariffs.
In 2022, North Carolina — the 14th-largest agricultural exporting state, according to the United States Trade Representative — shipped $4.5 billion in domestic agricultural exports abroad. Of those, the highest-valued products were pork, broiler meat and tobacco.
But China’s most recent tariff announcement expands the items subject to taxes from only agricultural products to all U.S. products.
According to a 2024 report from the U.S.-China Business Council, oilseeds and grains are the top U.S. exports to China, followed by oil and gas. The U.S. exported $144.9 billion of goods to China in 2023, and North Carolina was the sixth-largest goods exporter to China, following Texas, California, Louisiana, Indiana and Illinois.
North Carolina’s 4th Congressional District, which includes parts of Wake, Durham, Orange and Chatham counties, was one of the top 10 U.S. congressional districts to export goods to China, shipping $1.5 billion of goods to the country in 2023.
According to the U.S. Trade Representative, North Carolina’s largest manufacturing export category in 2024 was chemicals, which accounted for $16.5 billion of the state’s total $40.2 billion of exports that year.
North Carolina companies on China’s ‘unreliable entity’ list
Two firms that have facilities in North Carolina, TCOM and Cubic Corporation, were among 10 added to the “unreliable entity” list in March, The News & Observer previously reported.
Six other companies were added to the list, as of April 9. Among them are Cyberlux Corporation, a defense industry technology solutions company headquartered in Research Triangle Park, and Sierra Nevada Corporation, a Nevada-based firm with North Carolina locations in Durham and Fayetteville.
The dozen firms added to the export control list are not based in North Carolina.
This story was originally published April 9, 2025 at 10:59 AM with the headline "These NC businesses and exports to China are subject to new tariffs and controls."
