President Donald Trump’s wide ranging “reciprocal” tariff policy went into effect at 12:01 a.m. on Wednesday, including 104% duties on goods from China, as well as various levies on imports from about 90 other U.S. trading partners.
Officials in China on Wednesday announced retaliatory duties on U.S. imports to 84%, up from 34%, starting on Thursday.
The escalation of tariffs further deteriorates U.S.-China trade relations, after China vowed on Tuesday to “fight to the end” in the renewed trade war.
“The U.S. threat to escalate tariffs on China is a mistake on top of a mistake and once again exposes the blackmailing nature of the U.S. China will never accept this. If the U.S. insists on its own way, China will fight to the end,” China’s Commerce Ministry said on Tuesday, according to the Associated Press.
China was the third-ranked U.S. trading partner in 2024 at $582 billion in cross-border commerce.
Trump unveiled a broad “reciprocal” tariff plan for all U.S. trade partners April 2, including a baseline 10% tariff on trade partners, as well as 25% tariffs on certain imported vehicles and auto parts arriving into the U.S.
Several nations, including Vietnam, Taiwan and Japan, have seemed willing to negotiate on tariffs. The European Union is also pushing for negotiations to avert an all-out trade war.
