China has firmly rejected the latest tariff escalation threat issued by U.S. President Donald Trump, signaling a deepening trade conflict between the world’s two largest economies.
On Tuesday, the Chinese Commerce Ministry, through state news agency Xinhua, declared its unwavering opposition to Washington’s proposed 50% tariff hike on Chinese imports, vowing to take decisive countermeasures to protect its national interests.
In a strongly worded statement, the Commerce Ministry criticized the U.S. for what it described as “unilateral bullying” and “blackmail.”
The Ministry asserted that the proposed tariff escalation is both groundless and a violation of international trade norms.
“China will fight till the end if the U.S. side is bent on going down the wrong path,” the Ministry declared.
It emphasized that China’s countermeasures are legitimate actions aimed at safeguarding its sovereignty, security, and developmental interests while maintaining a stable international trade order.
The Ministry further accused the U.S. of compounding its mistakes with the tariff escalation threat, which it argued undermines global trade stability.
Trump’s ultimatum and tariff strategy
President Trump, in a social media post on Monday, issued a 24-hour ultimatum to Beijing, demanding the withdrawal of its recently announced 34% retaliatory tariff on U.S. goods.
- Failure to comply, he warned, would result in an additional 50% tariff on Chinese imports, effective April 9, 2025.
- This proposed tariff hike would be layered on top of the existing 34% duty set to take effect on Wednesday, as well as a 20% levy previously introduced to address fentanyl trafficking concerns. Combined, these measures would raise the total tariff rate on Chinese imports to a staggering 104%.
- According to a White House official, the administration views these tariffs as a necessary response to what it perceives as decades of unfair trade practices by China.
President Trump has consistently framed his tariff strategy as a means to level the playing field for American industries and address the longstanding trade imbalance between the two nations.
What you should know
In an earlier post on his X account, Trump described China as “the biggest abuser” of free trade with the United States.
- He defended his administration’s approach, claiming that the tariffs are generating billions of dollars weekly for the U.S. economy without contributing to inflation.
- The escalating trade tensions have sent shockwaves through global markets, with Trump’s announcement of sweeping tariffs—ranging from 10% to 50%—on multiple countries further exacerbating economic uncertainty.
- Analysts warn that the intensifying trade conflict between the U.S. and China could have far-reaching consequences for global trade dynamics and economic stability.
China’s resolute stance and the U.S. administration’s aggressive tariff strategy underscore the high stakes in this ongoing trade war, leaving the international community bracing for potential ripple effects.