China announced on Thursday that it will reduce the number of films imported from the United States, citing the ongoing tariff dispute between the two countries. The move was confirmed in a statement by China’s Film Administration. 

The decision follows US President Donald Trump's announcement on Wednesday of an immediate increase in tariffs on Chinese goods to 125%, after Beijing retaliated with an additional 50% tariff on US products. 

"The erroneous actions of the US government's indiscriminate tariffs on China will inevitably lead to a further reduction in the favorable perception of American films among domestic audiences," the Film Administration said. 

The agency added that it would "follow market rules, respect audience choice, and moderately cut the number of films imported from the US." 

As the world’s second-largest movie market, China emphasized that it would compensate for the decline in US film imports by "bringing in wonderful movies from a large lot of countries to meet domestic demand." 

The Film Administration also predicted that the US’s aggressive tariff policy would lead to a cooling of Chinese audiences' enthusiasm for American films, resulting in lower demand.   

'China wants deal, does not know it yet'

US President Donald Trump on Wednesday described China as the "biggest abuser" in trading history, accusing Beijing of profiting heavily at America's expense. Speaking to reporters at the White House, Trump said China made $1 trillion off trade with the United States in 2024, a situation he called "not right."

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"China was by far the biggest abuser in history," Trump stated. "A deal can be made with every one of them. A deal is going to be made with China. A deal is going to be made with every one of them. And there'll be fair deals. I just want fair deals," he added.

Later, Trump said he is open to meeting with Chinese President Xi Jinping, calling him a "friend."

"Sure, I’d meet with him [Xi]," Trump told reporters. "He's a friend of mine. I like him, President Xi, I like him. I respect him."

Earlier in the day, Trump announced a sharp escalation in his trade policy against China, increasing tariffs on Chinese goods to 125% effective immediately. The move followed Beijing’s decision to retaliate against previous US tariffs by imposing an additional 50% duty on American goods.

Trump also commented on the possibility of reaching an agreement with Beijing, suggesting that China is interested in negotiations but struggling with how to proceed.

"China wants to make a deal. They just don't know how quite to go about it. It's one of those things. They are quite proud people, and President Xi [Jinping] is a proud man. I know him very well, and they don't know quite how to go about it, but they'll figure it out in the process of figuring it out," Trump said.

The tariff hike marks another significant escalation in the ongoing US-China trade tensions, even as Trump maintains that fair agreements are still achievable.

Trump hikes tariffs to 125%

Trump announced on Wednesday a sudden and drastic increase in tariffs on Chinese imports, raising them to an unprecedented 125% effective immediately. The announcement came after China responded to previous American tariff hikes with reciprocal measures of its own.

"Based on the lack of respect that China has shown to the World's Markets, I am hereby raising the Tariff charged to China by the United States of America to 125%, effective immediately," Trump wrote on his Truth Social platform.

This escalation follows a series of aggressive tariff increases by Washington over recent months—starting with a 10% hike in February, rising to 20% in March, and reaching 54% earlier in April. In response, China imposed its own tariffs, climbing to 84% by April 9. Rather than pursuing meaningful dialogue, the US administration has continued to inflame tensions with punitive economic measures.