Beijing: China announced on Friday that it will impose a 34% tariff on all US imports starting April 10, responding to the latest round of trade measures introduced by President Donald Trump. This marks a significant escalation in the ongoing economic standoff between the world’s two largest economies.
Trump’s move, unveiled on Wednesday, added an additional 34% duty on Chinese imports, citing economic and national security concerns. The White House had already imposed two rounds of 10% tariffs earlier this year, aimed in part at curbing illicit fentanyl flows. With the latest increase, Chinese goods entering the US will now face tariffs totaling 54%.
Beijing strongly condemned Washington’s actions, accusing the US of violating international trade norms and engaging in economic coercion. “This is a clear act of unilateral bullying that harms China’s legitimate rights and interests,” the State Council Tariff Commission stated.
China’s latest retaliation is more extensive than previous countermeasures. In addition to broad-based tariffs, Beijing has expanded its restrictions on US businesses. It added 11 American companies, including drone manufacturers, to its “unreliable entity list” and imposed export controls on 16 firms, limiting access to Chinese dual-use technology. Furthermore, China has launched an anti-dumping probe into imported medical CT X-ray tubes from the US and India.
Beijing is also restricting the export of key rare-earth minerals to the US, including samarium, gadolinium, and terbium—materials critical for electronics and defense applications.
The heightened trade conflict is creating uncertainty for global supply chains, with businesses struggling to adapt to the higher tariffs and potential disruptions. The economic tensions come at a difficult moment for China’s economy, which has been grappling with sluggish domestic consumption.
The financial markets responded sharply to the developments. US stock futures tumbled on Friday, with Dow futures plunging by 1,000 points (2.3%), the S&P 500 dropping 2.4%, and the Nasdaq down 2.7%. European and UK markets also took a hit, shedding more than 3%—one of their worst performances in recent years.
Market volatility had already intensified earlier in the week. On Thursday, US indices recorded their steepest declines in half a decade: the Dow fell over 1,600 points (-4%), the S&P 500 dropped nearly 5%, and the Nasdaq plummeted almost 6%.
