The U.S. signaled its intention to impose a sweeping 50% tariff hike on Chinese goods. In response, at 8:48 AM on April 8 (Beijing time), China’s Ministry of Commerce issued a clear warning: If the U.S. implements further tariff escalation, China will take resolute countermeasures to defend its legitimate rights and interests.
Accused the US of “blackmail”
On Tuesday, China’s commerce ministry accused the US of “blackmail” and said the US president’s threats of additional 50% tariffs if Beijing did not reverse its own 34% reciprocal tariff were a “mistake on top of a mistake”.Trump’s threat came after China said it would retaliate against U.S. tariffs he announced last week
Long term trading abuses
If China does not withdraw its 34% increase above their already long term trading abuses by tomorrow, April 8th, 2025, the United States will impose ADDITIONAL Tariffs on China of 50%, effective April 9th,” Trump wrote on Truth Social. “Additionally, all talks with China concerning their requested meetings with us will be terminated!”
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Flood other countries with cheaper goods
If Trump implements his new tariffs on Chinese products, U.S. tariffs on Chinese goods would reach a combined 104%. The new taxes would be on top of the 20% tariffs announced as punishment for fentanyl trafficking and his separate 34% tariffs announced last week. Not only could that increase prices for American consumers, it could also give China an incentive to flood other countries with cheaper goods and seek deeper relationships with other trading partners, particularly the European Union.
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Six strong countermeasures
Sources indicate that China is readying at least six strong countermeasures, including:
Significantly increasing tariffs on U.S. agricultural exports such as soybeans and sorghum, Banning imports of U.S. poultry, citing persistent avian flu concerns,Suspending cooperation on fentanyl control, given the lack of U.S. reciprocity and persistent blame-shifting,Restricting U.S. firms in China’s services sector, including procurement, legal consulting, and other areas where the U.S. runs a substantial trade surplus, Banning or reducing imports of American films and Investigating IPR gains of U.S. companies operating in China, especially regarding monopolistic advantages.
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China does not seek conflict
China does not seek conflict—but neither will it back down when its interests are at stake. The principle is simple: “We do not provoke, but we will not be bullied.”
A new wave of uncertainty
With rising tensions, global businesses and supply chains should prepare for a new wave of uncertainty—and opportunity in strategic realignment.
