China retaliates with 34% tariffs on US imports: New China tariffs against the US will go into effect on April 10

 

China Retaliates with 34% Tariffs on US Imports: New China Tariffs Against the US Will Go Into Effect on April 10
By Steven Orlowski, CFP, CNPR

Beijing, April 6, 2025 — In a sharp escalation of trade tensions, China has announced it will impose new tariffs of 34% on a broad range of U.S. imports, effective April 10. The move comes in direct retaliation for recent U.S. measures targeting Chinese technology and manufacturing sectors, marking the latest salvo in the ongoing economic standoff between the world’s two largest economies.

The Chinese Ministry of Commerce confirmed the tariff increase late Saturday evening, stating the decision was made “to safeguard national interests and uphold the multilateral trading system.” The new tariffs will affect approximately $70 billion worth of U.S. goods, including agricultural products, automobiles, industrial machinery, and consumer electronics.

A Measured but Forceful Response

Chinese officials emphasized that while they prefer dialogue, they are prepared to respond decisively. “The United States has acted unilaterally and irresponsibly, imposing discriminatory restrictions on Chinese firms and exports,” said ministry spokesperson Gao Wenbin. “China’s countermeasures are legitimate and necessary.”

The tariffs follow Washington’s decision last month to introduce a 25% tariff on Chinese semiconductors and advanced batteries, citing national security concerns and alleged unfair trade practices. U.S. officials have also increased scrutiny on Chinese investments in American technology companies and infrastructure projects.

Impact on Global Markets and Trade

Global markets reacted swiftly to the news, with early trading in Asian exchanges showing sharp declines. The Shanghai Composite fell 2.1%, while Wall Street futures pointed to a volatile open on Monday.

Economists warn the tit-for-tat tariff exchanges could further strain global supply chains already recovering from pandemic-era disruptions. “These escalating tariffs threaten to drag both economies into a deeper economic slowdown,” said Angela Murray, chief economist at EastWest Analytics. “If sustained, this could shave off half a point from global GDP growth in 2025.”

US Agricultural Sector Hit Hard

Among the hardest hit will be the U.S. agricultural sector, particularly soybean and corn exporters, already struggling from past trade disputes and falling commodity prices. China is one of the largest buyers of U.S. farm products, and the new tariffs could severely undercut American farmers’ competitiveness in international markets.

“Farmers are once again caught in the crossfire,” said Mark Elder, president of the National Farmers Federation. “We urge both governments to return to the negotiating table before irreparable damage is done.”

What's Next?

The White House has yet to issue an official response, though sources suggest an emergency meeting of the U.S. Trade Representative’s office is scheduled for Monday morning. Some analysts believe Washington could counter with further restrictions, possibly targeting Chinese rare earth exports or financial technology.

Trade experts caution that the dispute risks unraveling years of diplomatic progress and bilateral investment. “What we’re witnessing is not just a trade war—it’s a broader strategic decoupling,” said Mei Zhang, a professor of international trade at Columbia University. “The longer it continues, the harder it will be to rebuild trust.”

As the clock ticks toward April 10, global attention remains fixed on Beijing and Washington. With high-stakes diplomacy in retreat and economic nationalism on the rise, the world may be entering a new chapter of great power competition—played out not on the battlefield, but across ports, markets, and trading floors.