US Says 9 Latin American Countries Helped China Avoid Tariffs
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The United States has accused nine Latin American countries of helping China avoid tariffs on its exports to America. Tariffs are taxes placed on goods coming from other countries.
According to the report, China has been using a method called transshipment to get around these tariffs. This means Chinese goods are sent through another country first, so they appear to come from that country instead of China.
The Trump administration introduced heavy tariffs on Chinese products, hoping to protect American businesses and push companies to make goods in the US. However, this new accusation suggests the plan has been partly undermined.
The White House says the US government is losing between $19 billion and $26 billion in revenue every year because of this practice. Revenue is the money a government collects, mainly through taxes.
Officials believe some Latin American countries have been acting as a middle step in this process, letting Chinese goods pass through before reaching the US market. This has allowed China to avoid paying the full tariff cost.
The opinion piece describes the situation as 'a great scam while it lasted,' suggesting that the arrangement worked well for a while but is now being exposed.
A scam is a dishonest scheme designed to gain money or an advantage unfairly. The US government appears to view this transshipment practice in the same way.
It remains unclear exactly which countries are involved or what actions the US plans to take next. However, the accusation could affect future trade relations between the US and these nations.
This story highlights the ongoing tension between the US and China over trade policy, as well as the challenges of enforcing tariffs in a global economy where goods often pass through several countries before reaching their final market.
Vocabulary10 words
- tariff
- a tax placed on goods brought in from another country
- transshipment
- sending goods through another country to hide their true origin
- administration
- a government and its leaders during a certain time
- revenue
- money that a government collects, often from taxes
- avoid
- to stop something from happening to you
- scam
- a dishonest plan to get money or an advantage unfairly
- trade
- the buying and selling of goods between countries
- export
- a good sent from one country to be sold in another
- policy
- a plan of action decided by a government
- enforce
- to make sure a rule or law is followed
Quiz
Answer key
1. Helping China avoid US tariffs through transshipment 2. $19-26 billion 3. Sending goods through another country to hide their origin
Fill-in-the-blank listening
Play the audio again and fill in the missing words as you listen.
The United States has accused nine Latin American countries of helping China avoid _____ on its exports to America.
According to the report, China has been using a method called _____ to get around these tariffs.
The Trump _____ introduced heavy tariffs on Chinese products, hoping to protect American businesses.
The White House says the US government is losing between $19 billion and $26 billion in _____ every year because of this practice.
Officials believe some Latin American countries have been acting as a middle step, letting Chinese goods _____ before reaching the US market.
The opinion piece describes the situation as 'a great _____ while it lasted.'
A scam is a dishonest scheme designed to gain money or an advantage _____.
It remains unclear which countries are involved or what _____ the US plans to take next.
This story highlights the ongoing tension between the US and China over trade _____.
The challenges of _____ tariffs are clear in a global economy where goods pass through several countries.