U.S. President Donald Trump has issued a stark warning to China, threatening to impose an additional 50% tariff on Chinese imports unless Beijing retracts its recently announced 34% retaliatory duty on U.S. goods.
The ultimatum of 24 hours was delivered via a social media post on Monday, intensifying trade conflict between the world’s two largest economies.
In his post, Trump stated, “If China does not withdraw its 34% increase above their already long-term trading abuses by tomorrow, April 8th, 2025, the United States will impose ADDITIONAL Tariffs on China of 50%, effective April 9th.”
This proposed tariff hike would be in addition to the 34% duty set to take effect on Wednesday, as well as a 20% levy previously introduced to address fentanyl trafficking concerns, raising the combined rate to 104%.
Decades of unfair trade practices
According to a White House official, the administration views these measures as necessary to counter what it perceives as decades of unfair trade practices by China.
The President has repeatedly emphasized his commitment to leveling the playing field for American industries and addressing the trade imbalance.
In an earlier post on his X account on Monday, Trump described China as “the biggest abuser” of free trade with the United States.
He defended his administration’s tariff strategy, stating that the U.S. is now bringing in billions of dollars weekly from nations he believes have exploited American trade policies. Trump asserted that this influx is benefiting the American economy without stoking inflation.
Decade-long trade imbalance
Trump emphasized that despite warnings, China responded with new 34% tariffs layered on top of what he called “ridiculously high” existing tariffs.
He lamented the decades-long trade imbalance, blaming past U.S. leadership for allowing China to capitalize on American leniency, adding,
“Our past leaders are to blame for allowing this, and so much else, to happen to our country.”
The President announced an additional 34% “reciprocal” tariff on Chinese goods on April 2, marking a significant escalation in the trade conflict.
This latest measure follows two rounds of 10% tariffs implemented in February and March. Trump’s actions have been justified as a means to raise federal funds, safeguard U.S. industries, and leverage negotiation power with global trade partners.
China has swiftly retaliated with sweeping tariff hikes and suspended imports of several key U.S. agricultural products and rare earth elements. The move signals Beijing’s resolve in countering what it perceives as aggressive economic tactics by Washington.
What you should know
The intensifying trade war has roiled global markets, with major indices reporting significant losses as investors brace for prolonged uncertainty.
- Treasury Secretary Scott Bessent urged affected nations not to retaliate, cautioning that escalation would only compound the economic fallout.
- Chinese state media, however, accused U.S. policymakers of recklessly employing “economic bullying tactics,” further straining relations.
- Trump has defended his controversial stance, likening tariffs to a necessary medicine for resolving long-standing trade issues, stating on Air Force One, “Sometimes you have to take medicine to fix something.”
As the U.S. and China remain locked in a high-stakes economic standoff, other nations are carefully assessing their responses to Trump’s tariff policies. The uncertainty surrounding trade dynamics continues to weigh on market sentiment, with analysts warning of deeper impacts on global supply chains and financial stability.
