Trade War: China responds to Trump’s tariffs with 104% - consequences
9 april 2025 в 21:37
President Donald Trump officially imposed a broad tariff of 104% on all Chinese imported goods starting from April 9, as announced by White House press secretary Caroline Levitt a day before.
In response, China released a strong statement, calling this move a «mistake on mistake» and labeling the tariffs as acts of «unilateralism, protectionism, and economic intimidation».
«The main impact on China is that Chinese goods have nowhere to go», - said Wang Yueshen, director of the Institute of International Economics at Peking University. He warned that export-oriented companies on the east coast of China producing goods such as furniture, clothing, toys, and household appliances will be among the hardest hit. «These companies will take a very strong blow», - he added.
Below, we will discuss what this escalating trade war means for both economies, and what the US actually sells to China.
A tariff is a tax imposed by the government on imported goods. It is used to make foreign products more expensive, encouraging consumers to buy domestic alternatives. Tariffs can also be a tool of political pressure or protection of national industries.
«Yesterday, China imposed retaliatory sanctions of 34%, on top of already record tariffs, non-monetary tariffs, illegal subsidization of companies, and massive long-term currency manipulation, despite my warning that any country that responds to the US by imposing additional tariffs above our existing long-term tariff abuses will immediately face new and significantly higher tariffs, beyond those originally set», - Trump wrote via Truth Social on April 7. «Therefore, if China does not withdraw its 34% tariff increase above our existing long-term trade abuses by tomorrow, April 8, 2025, the United States will impose ADDITIONAL tariffs on China of 50%, starting from April 9. In addition, all negotiations with China regarding their requested meetings with us will be terminated! Negotiations with other countries that have also requested meetings will begin immediately. Thank you for your attention to this matter!»
In response, China released a strong statement, calling this move a «mistake on mistake» and labeling the tariffs as acts of «unilateralism, protectionism, and economic intimidation».
«The main impact on China is that Chinese goods have nowhere to go», - said Wang Yueshen, director of the Institute of International Economics at Peking University. He warned that export-oriented companies on the east coast of China producing goods such as furniture, clothing, toys, and household appliances will be among the hardest hit. «These companies will take a very strong blow», - he added.
Below, we will discuss what this escalating trade war means for both economies, and what the US actually sells to China.
A tariff is a tax imposed by the government on imported goods. It is used to make foreign products more expensive, encouraging consumers to buy domestic alternatives. Tariffs can also be a tool of political pressure or protection of national industries.
«Yesterday, China imposed retaliatory sanctions of 34%, on top of already record tariffs, non-monetary tariffs, illegal subsidization of companies, and massive long-term currency manipulation, despite my warning that any country that responds to the US by imposing additional tariffs above our existing long-term tariff abuses will immediately face new and significantly higher tariffs, beyond those originally set», - Trump wrote via Truth Social on April 7. «Therefore, if China does not withdraw its 34% tariff increase above our existing long-term trade abuses by tomorrow, April 8, 2025, the United States will impose ADDITIONAL tariffs on China of 50%, starting from April 9. In addition, all negotiations with China regarding their requested meetings with us will be terminated! Negotiations with other countries that have also requested meetings will begin immediately. Thank you for your attention to this matter!»
© Artemenko Olga
