China Implements 15% Tariff on US Coal

China is hitting back with 15% tariffs on US coal. America sent 11.6 million tons of coal to China, with 6.46% of all US coal imports flowing into China. Climate zealots are cheering the move, and those on the far left are pleased that this will disproportionately hurt red states.

The majority of the coal exported to China from the US came from West Virgina (6 million tons). West Virginia generated 14% of all coal production in the nation, but sends a larger share to China. Wyoming is the leading coal producing state, accounting for 41.2% of production. Pennsylvania accounts for 6.7%, and Illinois, while not a red state, generated 6.3%. Kentucky is another mass producer, accounting for 5% of all US coal.

Could China be targeting red states specifically? Perhaps. Canada outright intended to do so to hurt Trump’s supporters. China does not heavily rely on the US for coal as it purchases most of its coal from Australia, Indonesia, Russia, and Mongolia. Australia is the world’s leading supplier of coal coming in at 33.7%, while America only produces about 7%.

The largest importer of US coal is none other than India. India has been the main middleman in these sanctions and tariff battles from Russia to China. India received 28.2 mnth in the first 11 months of 2024, marking an 8% annual increase. China upped their purchases of coal from India by 54% last year on an annual basis.

These tariffs and sanctions are completely counterproductive. China and the US were strong trade partners and, more important than goods, the US could rely on China to buy its debt. Those days are long gone as the two have become economic enemies.