Global trade relations escalate as China hits back with additional 34% tariffs on US imports

The Chinese State Council strikes back at the US' recent aggressive trade move by imposing reciprocal tariffs of 34% on top of the existing rates applied to all imports from the United States, starting from April 10.

The Ministry of Finance within the council is thereby fulfilling a previously made promise to respond to US President Donald Trump's trade policies that have caused global outrage on April 2, Caliber.Az reports citing American media.

“This practice of the US is not in line with international trade rules, seriously undermines China’s legitimate rights and interests, and is a typical unilateral bullying practice,” the announcement on retaliatory tariffs states.

Since reassuming office in January, Trump had already imposed two rounds of 10% additional tariffs on all Chinese imports. The White House justified these measures as a necessary step to curb the flow of illicit fentanyl from China into the US. When combined with existing tariffs, the total duties on Chinese goods entering the US now exceed 54%.

China’s latest response to US tariffs is broader in scope compared to its previous retaliatory measures. In earlier rounds, Beijing had reacted swiftly but with moderation, placing tariffs on selected US imports such as agricultural products and fuel. Additionally, China had taken actions against specific American companies and strengthened export controls as part of its countermeasures.

As part of the retaliatory measures announced on April 4, China added 11 American companies—including drone manufacturers—to its “unreliable entity list.” Additionally, it imposed export controls on 16 US firms, restricting their access to Chinese dual-use items.

Analysts estimate that the escalating trade tensions could reduce China’s economic growth by up to 2.5 percentage points this year. Despite these challenges, China remains committed to its target of around 5% growth in 2025.

By Nazrin Sadigova