Made in Taiwan may not be enough as US tariff checks target Chinese content
The US is widening what counts as tariff dodging, and that is bad news for Asian factories that rely on Chinese parts.
- Washington may soon look past where a product was finished and ask how much of it came from China.
- A White House report accuses more than 40 countries, including nine in Southeast Asia, of running a big rerouting scam.
- Companies that moved work to Vietnam or Malaysia to escape China tariffs are now under suspicion for doing exactly that.
- Customs paperwork is getting stricter, with imports possibly traced all the way back to raw materials.
- Trump has more tariff tools than before, including a 1930s law that lets him add up to 50% without asking Congress.
Outlook: Countries named in the report that also sell more to the US than they buy should expect more tariff pressure, and a Chinese-content "purity test" could reset the rules for the whole region.