China to slap a 34% tariff on all imports from the United States
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China has announced it will implement new tariffs against the United States, as Trump continues to fan the flames of a global trade war.
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Chinese and United States flags are flown outside the China International Supply Chain Expo in Beijing, on November 27, 2024 (AP)
China announced that it plans to impose a new tariff on imports from the United States in response to the reciprocal tariff of 34% imposed by Trump on Beijing, announced on Wednesday.
"For all imported goods originating from the US, an additional tariff of 34 percent on top of the current applicable tariff rate will be imposed," the Chinese Ministry of Finance stated, and the tariff, which matches the US rate, will be implemented on April 10.
China condemned Trump's decision, “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,” China’s State Council Tariff Commission said in a statement.
In addition to the new tariff, China has imposed export controls on seven rare earth minerals, including gadolinium, which is used in Magnetic Resonance Imaging (MRI), and Yttrium, which is commonly used in consumer electronics. Moreover, China added 11 companies to its unreliable companies list, including US drone manufacturer Skydio, and imposed controls on some Chinese exports to 16 US companies.
Trump's announcement of reciprocal tariffs on more than 180 countries prompted friend and foe alike to respond to the levies, which are causing a shakeup in the global economic system.
Trump's tariffs fueling a global trade war
Canadian Prime Minister Mark Carney accused the US of abandoning its traditional leadership role in global economic cooperation, stating that “The global economy is no longer the same as it was yesterday,” while unveiling a limited set of countermeasures on April 3.
The European Union has also promised to respond, with French President Emmanuel Macron calling on European countries to halt their investments in the United States, while German Chancellor Olaf Scholz previously asserted on March 31 that the EU would unite against Trump should he refuse to cooperate with the bloc.
Rising US tariff actions risk triggering a significant global trade downturn, World Trade Organization Director General Ngozi Okonjo-Iweala warned on April 3 amid growing demands from member nations for explanations regarding the implications of America's changing economic policies.
"The impact on global trade prospects and economic growth is becoming increasingly clear," Okonjo-Iweala stated, warning that retaliatory tariffs could spiral into a bigger tariff war.
The United States' sweeping imposition of tariffs is set to have far-reaching effects on global trade, Russian Security Council Deputy Chairman Dmitry Medvedev said on April 3 in his telegram channel, adding that "Old trade chains will be broken, but new ones will arise."
