UPDATE: 4/11/2025—The ongoing trade tensions between the United States and China have escalated once again, with both countries continuing to impose retaliatory tariffs in response to each other’s measures. In a recent development, the White House issued an Executive Order announcing a significant increase in tariffs on Chinese imports, raising them from 84 percent to 125 percent under the authority of the International Emergency Economic Powers Act (IEEPA). This move not only intensifies the current trade conflict but also signals the US administration’s readiness to further expand the scope and scale of duties imposed on Chinese goods, leaving the door open for additional economic countermeasures in the near future.
The trade conflict between the United States and China has intensified with significant tariff escalations from both nations. On April 9, 2025, President Donald Trump implemented multiple and significant increases of over 100 percent duties on Chinese imports, a move that prompted immediate retaliation from China. In response, China announced an 84 percent tariff on all US goods, marking a substantial increase from the previously imposed 34 percent tariff.
However, the same day, Trump abruptly backed down on most of those tariffs for 90 days, excluding China. He instead raised the tax rate on Chinese imports to 125 percent, seemingly an attempt to narrow what had been an unprecedented trade war between the US and most of the world to one focused solely on China.
In addition to tariff measures, China has implemented export controls on American firms and added several US companies to its export control list, restricting the trade of items with both civilian and military applications. This action underscores the deepening rift between the two largest global economies.
The European Union has called for restraint, with leaders emphasizing the need for stability and warning against further escalation. Despite these international appeals, the US administration remains steadfast in its approach, asserting that the tariffs are necessary to protect domestic industries and address trade imbalances.
The situation remains fluid, with potential for further retaliatory measures and ongoing negotiations aimed at resolving the dispute. We will continue to monitor the situation and provide updates as they become available.