Trump escalates trade war with China: 104% tariffs now in effect
The United States and China are once again locked in an intensifying trade standoff, with tit-for-tat tariffs sparking further tensions between the world’s two largest economies.
Following US President Donald Trump’s introduction of a new wave of tariffs — dubbed “Liberation Day” tariffs — China swiftly responded with a retaliatory 34% tariff hike. The move drew sharp criticism from President Trump, who took to Truth Social on April 7 to issue a warning.
“Yesterday, China issued Retaliatory Tariffs of 34%, on top of their already record setting Tariffs, Non-Monetary Tariffs, Illegal Subsidization of companies, and massive long term Currency Manipulation,” Trump wrote. “Despite my warning that any country that Retaliates against the US [...] will be immediately met with new and substantially higher Tariffs, over and above those initially set.”
The president added that unless China backs down and reverses the 34% tariff increase, the US would impose an additional 50% tariff on Chinese imports — on top of existing measures.
China, for its part, condemned the approach. “Threats and pressure are not the right way to deal with China,” Chinese foreign ministry spokesperson Lin Jian said on Monday, calling the US actions “bullying,” Reuters reports.
White House Press Secretary Karoline Leavitt echoed Trump’s hardline stance during an April 8 press conference. “I just spoke to the president about this and he believes that China wants to make a deal with the United States — he believes China has to make a deal with the United States. It was a mistake for China to retaliate,” she said. “When America is punched, he punches back harder. That’s why there will be 104% tariffs going into effect on China tonight at midnight.”
As of today, the new 104% tariffs on Chinese goods are officially in effect, marking a dramatic escalation in the ongoing US-China trade conflict.
Trade between the two countries remains extensive. According to the US Bureau of Economic Analysis, as noted by the BBC, total goods traded between the US and China totalled around USD 585 billion last year. However, the trade balance is skewed in China's favour: the United States imported over USD 440 billion in goods from China, while China imported just USD 145 billion from the United States.
Despite mounting pressure, China has signalled no intention of backing down