In a significant escalation of the ongoing trade dispute between the world’s two largest economies, China has raised tariffs on imports from the United States to a staggering 84%. The decision comes as a direct countermeasure to newly imposed American tariffs, further deepening the trade rift between Beijing and Washington.
Tensions Mount as Tariff War Escalates
The sharp tariff hike follows earlier warnings from China that it would take “resolute and forceful” actions to protect its economic and national interests if the United States moved forward with additional punitive trade measures. Although China initially refrained from announcing specific new tariffs in response to U.S. actions, its latest move makes clear that Beijing is not backing down.
Last week, Chinese officials declared their intention to impose a 34% tariff on all imports from the United States, marking a strong stance in the face of increasing pressure from Washington. However, following the implementation of even steeper tariffs by the U.S., Beijing has now increased its retaliatory duties to 84%.
US Tariffs Hit Chinese Exports Hard
On Wednesday, a new round of U.S. tariffs—totaling 104%—officially went into effect on a broad range of Chinese exports entering the American market. These tariffs, championed by former U.S. President Donald Trump, are part of a broader protectionist strategy aimed at reducing America’s trade deficit and reasserting its economic power.
The 104% levy specifically targets Chinese goods, marking one of the most aggressive moves yet in the trade standoff. According to U.S. officials, the purpose of these measures is to force China to play fair in trade relations and eliminate practices that Washington views as exploitative or unfair.
Trump’s “America First” Trade Doctrine In Action
These developments are part of a larger series of trade actions taken by Trump under his “America First” policy framework. On April 2, Trump implemented a 10% global tariff on a wide array of imports from over 60 countries, igniting widespread concern across international markets.
Trump had also warned that much steeper “reciprocal tariffs” would come into force by April 9 against nations that he claimed had long taken economic advantage of the United States. He accused several countries—particularly China—of unfair trade practices, intellectual property theft, and dumping goods in American markets at the expense of U.S. manufacturers.
When Beijing declined to meet the Trump administration’s demand to roll back its retaliatory duties, the U.S. followed through with its threat, allowing the 104% tariffs to take effect.
China Pushes Back With Stronger Measures
In response, China has now taken a more aggressive approach, significantly increasing the tariff rate on American goods to 84%. While the Chinese government did not initially disclose the specific product categories affected by the new rate, experts believe the duties will likely hit critical U.S. exports, including agricultural products, automobiles, and technology-related goods.
A spokesperson for China’s Ministry of Commerce reiterated that the country “will not yield to pressure or threats,” adding that these tariffs are a necessary move to protect China’s sovereignty, industries, and economic development goals.
Implications for Global Trade
The tit-for-tat escalation between the two superpowers has raised serious concerns within the international business community. Economists warn that prolonged trade tensions could hurt global economic growth, disrupt supply chains, increase consumer prices, and cause market instability.
Businesses on both sides of the Pacific are bracing for the impact, with U.S. farmers, tech firms, and exporters expressing anxiety over lost market access in China, one of their largest and fastest-growing consumer markets.
Meanwhile, analysts suggest that the escalating tariff war could encourage both nations to seek alternative markets and partners, reshaping global trade routes and long-standing economic alliances.