China has opened an antitrust investigation into Google, escalating tensions in response to recent US tariff hikes.
The probe, led by China’s State Administration for Market Regulation (SAMR), was announced on Tuesday and focuses on suspicions that Google has violated Chinese antitrust laws. This move comes alongside China’s retaliatory tariffs and export controls targeting US goods.
While Google’s search and internet services have been banned in China since 2010, the investigation could impact its relationships with Chinese tech companies. Although specific details remain limited, the Financial Times reports that the probe centers on Android’s dominance and its potential disadvantages for Chinese smartphone manufacturers like Oppo and Xiaomi. Notably, the announcement came just minutes after the US imposed a 10% tariff on Chinese imports. This marks another major antitrust action by China, following an investigation into Nvidia in December 2024, with Intel reportedly under scrutiny as well.
Beyond the Google probe, China has also introduced fresh tariffs on select US goods. These include a 15% tax on coal and natural gas and a 10% tariff on crude oil, agricultural equipment, larger cars, and pickup trucks. Additionally, China has placed export restrictions on critical minerals such as tungsten, tellurium, ruthenium, and molybdenum, citing national security concerns. These materials play a crucial role in the tech and infrastructure industries worldwide.
Meanwhile, US tariffs against Mexico and Canada, originally scheduled for Tuesday, have been postponed by a month for trade negotiations. However, tariffs against China remain firmly in place. President Trump stated on Monday that he expects to speak with Chinese President Xi Jinping “within the next 24 hours” and warned that tariffs will be “very, very substantial” if a trade agreement isn’t reached.
