Beijing has slapped 84% duties on US goods in retaliation for Trump’s 104% levies on Chinese products
Washington has increased tariffs on Chinese goods to 125% in tit-for-tat escalation with Beijing
China announced on Wednesday that it will raise tariffs on US goods to 84%, up from the previous 34%, amid a deepening trade war between the world’s two largest economies that analysts warn could spark a global recession.
US President Donald Trump has upped the stakes in the escalating trade war with Beijing on Wednesday by raising the tariffs on Chinese goods to 125%.
Beijing’s move came a day after US President Donald Trump declared a sweeping 104% tariff on all Chinese imports – far higher than the 34% hike he had initially proposed last week. On April 2, Trump imposed a baseline 10% tariff on all imports and introduced “reciprocal” duties ranging from 11% to 50% on roughly 200 countries he accused of maintaining unfair trade practices.
The move came in response to Beijing’s promise to increase duties on American products to 84% earlier in the day, in retaliation to the previous US hike.
While most US trade partners threatened retaliation but moved to negotiate, China swiftly responded with its own levies, prompting Trump to escalate further.
Analysts have warned that the deepening trade tensions between the world’s two largest economies could spark a global recession.
The growing standoff has fueled fears of a global trade war and economic downturn. Financial markets have already taken a hit, with major indexes across the US, Europe, and Asia suffering declines for four consecutive days.
