The specter of a global trade war loomed large following US President Donald Trump's announcement of reciprocal tariffs on April 2. This trade conflict now seems inevitable as China prepares to counter with equivalent tariffs against the US. China's Ministry of Finance stated on Friday that an additional 34% tariff on all US imports would be enforced starting April 10 as a rebuttal to America's recent tariff actions.
The ministry stated, 'On April 2, 2025, the US government imposed reciprocal tariffs on all imported Chinese goods. This action infringes on international trade regulations and harms China's legitimate rights. Such moves are not just detrimental to America's interests but also threaten global economic growth, production stability, and the supply chain.'
The Chinese ministry urged the US to revoke its tariffs, stating, 'China appeals to the US to withdraw its unilateral tariff strategies through dialogue, aiming to resolve any trade disputes for mutual benefit.'
China to Restrict Rare Earth Metals Exports to the US
In retaliation to the US tariffs, China has not only imposed matching tariffs but also announced restrictions on rare earth metals exports to the US.
China disclosed its plans to control the export of medium and heavy rare earth metals, including samarium, gadolinium, terbium, dysprosium, lutetium, scandium, and yttrium, to the US. These controls were enacted from April 4.
The Ministry of Commerce released a statement affirming, 'The Chinese government is instituting export control over pertinent goods as per legal standards. This initiative aims to safeguard national security and interests while fulfilling international obligations like nuclear non-proliferation.'
Chinese Retaliatory Tariff Threats Were Pre-Empty
Trump had already imposed a 20% tariff on Chinese goods imported to the US. On April 2, he added a 34% reciprocal tariff, bringing the total to 54% on Chinese imports.
On Thursday, China strongly denounced the US reciprocal tariffs, asserting, 'It firmly opposes these measures and will implement counter-strategies to protect its rights and interests.'
On Thursday, China's Ministry of Commerce criticized the tariffs in a statement, arguing they breach international trade norms and significantly harm affected nations' legitimate rights.
