The Glossary
MFN / Normal Trade Relations
The baseline, non-discriminatory tariff treatment China has received since PNTR in 2001.
Definition
Most-favoured-nation (now "normal trade relations") treatment means tariff columns applied to China equal those applied to most WTO members. Before 2000, China's status required annual renewal tied to human-rights politics; PNTR made it permanent as part of the WTO accession bargain. Nearly every headline tariff figure of the trade-war era — Section 301 rates, IEEPA tariffs, reciprocal surcharges — is an addition on top of this baseline, which the pre-war Peterson Institute estimated at roughly 3% average for Chinese goods.
Why it matters
Reverting to non-NTR rates (the "column two" schedule, averaging 40%+) is a standing hawkish proposal; every serious escalation scenario starts by knocking out this floor.