China has strongly condemned the latest tariff hike imposed by the United States, revealing that certain Chinese goods now face duties as high as 245%. The Chinese government is calling for an end to what it describes as coercive tactics and threats from Washington, urging the US to abandon its “extreme pressure” approach and negotiate based on equality and respect.
US Imposes Retaliatory Tariffs on Chinese Goods
On Tuesday, April 14, 2025, the White House issued a factsheet announcing new tariffs on Chinese imports, which are a result of the US’s retaliatory actions in the ongoing trade dispute. According to the White House, the tariffs are part of an effort to address unfair trade practices by China, including its role in the fentanyl supply chain.
However, the US government has placed the responsibility for ending the dispute on Beijing, stating that the ball is in China’s court. Press Secretary Karoline Leavitt quoted President Donald Trump as saying, “The ball is in China’s court. China needs to make a deal with us. We don’t have to make a deal with them.”
China’s Response to the US Tariff Increase
In response, China has slammed the US for what it calls the “weaponization” of tariffs. Beijing emphasized that there are no winners in a trade war, and while China does not want to engage in further conflict, it is not afraid to fight. Foreign Ministry spokesman Lin Jian noted, “If the US truly wants to resolve the issue through dialogue, it must stop exerting extreme pressure, stop threatening, and engage with China based on equality, respect, and mutual benefit.”
The Chinese government revealed that the cumulative tariffs on some individual Chinese exports to the US have reached as high as 245%, marking a sharp escalation in the ongoing trade war. Beijing has stated that these tariffs are part of the US’s irrational approach to international trade and dismissed them as “meaningless.”
Economic Impact of the Tariff War
As tensions between the two largest economies in the world escalate, analysts are concerned about the potential global economic repercussions. China reported a 5.4% economic growth in the first quarter of 2025, surpassing expectations. However, experts warn that the full impact of the tariffs will be felt in the second quarter, as businesses seek alternative suppliers, which could disrupt Chinese exports and slow investment growth.
In the face of these challenges, countries like Japan and South Korea are also feeling the pressure. Japan’s envoy to the US, Ryosei Akazawa, expressed hope for a “win-win” outcome, while South Korea’s Finance Minister, Choi Sang-mok, plans to meet with US Treasury Secretary Scott Bessent to discuss ways to minimize the uncertainty surrounding the trade dispute.
US Businesses Affected by New Tariffs
The new tariffs are already taking a toll on US businesses, particularly in the tech industry. Nvidia, a major player in the semiconductor market, announced that it expects a $5.5 billion hit due to new US licensing requirements on critical chips it can sell to China. Other tech companies are also bracing for the impact of the tariffs, which could lead to higher costs and disrupted supply chains.
Meanwhile, President Trump has continued to impose tariffs on Chinese goods throughout 2025, including a baseline 10% tariff on many US trading partners. While some tech products like smartphones and laptops have been exempted, the ongoing trade war is expected to escalate further, with no clear resolution in sight.
Conclusion: The Future of US-China Trade Relations
As the US-China trade war intensifies, both countries continue to raise tariffs on each other’s goods, adding to global uncertainty. While China’s economy remains resilient, economists warn that the escalating tensions could hurt growth in the second quarter of 2025. Meanwhile, businesses and industries worldwide will need to adapt to the new trade environment, which is expected to continue to evolve throughout the year.
The US and China face a pivotal moment in their economic relationship, with the outcome of the ongoing tariff disputes likely to shape global trade for years to come. For now, both sides remain at an impasse, with China calling for negotiations and the US maintaining its hardline stance.
