China has demanded the United States roll back its new tariffs with immediate effect, vowing to retaliate in its own defense. This follows after President Donald Trump announced a big increase on tariffs for Chinese imports, the total rising to at least 54%. The new tariffs come on top of the existing 20% tariffs, adding an additional 34% to almost all Chinese goods shipped to the U.S., valued at over $525 billion in 2024.
China's Commerce Ministry labeled the U.S. moves as "unilateral intimidation" and demanded mutual negotiations in order to resolve trade disputes. Beijing has long fought U.S. tariffs with retaliatory measures against American farm products and other sensitive exports.
The escalation of tensions in trade could damage world supply chains and significantly influence China's economic growth, reducing its GDP by up to 2.4 percentage points by 2025.
The incident is part of a broader trade war fueled by Trump's "Liberation Day" policies aimed at synchronizing U.S. tariffs with the tariffs of other countries. Other countries, including China and the European Union, have promised retaliation.
