In a significant escalation of the ongoing trade conflict, China has announced an increase in tariffs on U.S. imports from 84% to 125%, effective immediately. This move is a direct response to the Trump administration’s recent tariff hikes on Chinese goods.
Beijing’s Ministry of Commerce stated that the new tariffs aim to counteract the U.S.’s “unilateral and coercive” trade measures. However, China also indicated that it does not intend to match any further U.S. tariff increases, suggesting that American goods have become economically unviable in the Chinese market at current tariff levels.
The escalation has unsettled global financial markets, with major indices experiencing volatility. Investors are increasingly concerned about the potential for a prolonged trade war between the world’s two largest economies.
In addition to the tariff increases, China has filed a complaint with the World Trade Organization, accusing the U.S. of violating international trade rules. The Chinese government emphasized its commitment to defending its economic interests while urging the U.S. to return to the negotiating table.
