China Hits US Pecans With 54% Levies Before Xi-Trump Summit

China has ordered significant anti-dumping deposits on pecan imports from the United States and Mexico, escalating trade tensions just weeks before an anticipated summit between US President Donald Trump and Chinese President Xi Jinping. The Ministry of Commerce announced on August 10 that pecans from both nations were being sold in China at unfairly low prices, according to preliminary investigation results.

Starting August 11, importers of US pecans must pay a deposit rate of 54.3%. Those sourcing from Mexico will face rates between 17.8% and 51.6%. This decision arrives as both Washington and Beijing are working to maintain progress toward Xi's planned September visit to the US, despite ongoing trade and technology disputes straining their fragile truce.

Last week, China unveiled a series of countermeasures, including sanctions on US entities and stricter controls on drone exports. However, the impact of these new pecan charges on bilateral trade is expected to be minimal. China's imports of US pecans had already drastically decreased following 2024 trade war tariffs. In the first four months of 2026, shipments of US pecans to China amounted to only $6.9 million, a sharp decline from $77.2 million two years prior. China has instead increased its pecan purchases from South Africa in recent years.

Chinese customs data also indicates a reduction in pecan imports from Mexico, with $2.6 million imported in early 2026 compared to $53.2 million in the same period of 2024. The Mexican government expressed concern over the preliminary ruling on August 10 and pledged to defend its producers' interests. While some Mexican companies face lower rates due to their participation in the probe, China applied a blanket 54.3% rate to all American supplies, as no US firms engaged in the investigation. The ministry stated China has exercised prudence in using trade-remedy measures and will protect the rights of all parties before issuing a final ruling. The investigation began last September under China's Anti-Dumping Regulations. American pecans previously faced a 10% tariff in March 2025 as retaliation against US levies.

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China has consistently exercised prudence and restraint in its use of trade-remedy measures.