JD.com (JD, Financial) is gearing up to spend $27 billion to help Chinese exporters sell their products at home, according to a Reuters report. The move comes as the U.S.-China trade fight shows no signs of cooling down.
China just announced it's raising tariffs on American goods to 125%, up from 84%, starting April 12. Officials also said they won't recognize any more tariff increases from Washington.
To support exporters hit by the trade fallout, JD.com said it will send teams to visit companies involved in international trade, buy what they call “high quality products,” and then sell them through a new section on its e-commerce platform.
The pressure from U.S. tariffs is expected to cut into exporter earnings, but efforts like JD's could help soften the blow from falling overseas orders.
Meanwhile, the White House said total tariffs on Chinese imports will now reach 145%. JD.com's shares have taken a hit too — down nearly 13% over the past month as investors digest the impact.
