Desk:In a strong counter-move, China on Friday announced a 34% additional tariff on all imported American products. This action comes in direct response to US President Donald Trump’s decision to impose a similar 34% tariff on Chinese exports.
According to a report by China’s state-run news agency Xinhua, the new tariffs on US goods will take effect from April 10. Following the US’s move to impose reciprocal tariffs on several trade partners, China has also filed a case against the US at the World Trade Organization (WTO).
Beijing’s Ministry of Commerce further stated that export controls have been imposed on seven rare earth elements, including Gadolinium, commonly used in MRI scans, and Yttrium, which is essential in consumer electronics.
In its official statement, the ministry confirmed: “China has filed a case under the WTO dispute settlement mechanism.”
In addition, China has added 11 US defense companies to its “unreliable entity list” and is set to impose export controls on 16 other American firms. Tensions between Washington and Beijing have escalated since Trump returned to the White House in January. The tariff war is now drawing in other countries as well—Trump had earlier announced increased tariffs on imports from China, India, and several other nations on April 2.
President Trump has also expressed strong dissatisfaction over the alleged import of fentanyl drugs from China.
Last year, China imported around $164 billion worth of goods from the US—its lowest figure in four years. While announcing the 34% tariffs, China’s Ministry of Finance said: “The US actions do not comply with international trade rules, seriously undermine China’s legitimate rights and interests, and are purely unilateral.”
The ongoing economic tensions have now begun to impact private companies across both nations, signaling a deepening trade conflict between the world’s two largest economies.