China Strikes Back: New Tariff Measures Escalate US-China Trade Tensions

China has intensified the US-China trade dispute by raising tariffs on American imports to 125%, responding to US tariffs increasing to 145%. President Xi Jinping emphasized the futility of such trade wars, while China warns of firm counteractions should the US continue undermining their economic interests.

Escalating the ongoing trade war, China on Friday announced a significant hike in tariffs on all US goods to 125%, retaliating against the US's recent tariff increase. According to the official Xinhua agency, the Chinese Customs Tariff Commission of the State Council has approved the tariff increase, which will take effect on April 12.

Simultaneously, China has filed a grievance with the World Trade Organization (WTO) regarding the US tariff hikes. Chinese President Xi Jinping commented on the trade dispute for the first time, asserting that a tariff war yields no victors and isolates those who pursue it. His statements were made during a meeting with Spanish Prime Minister Pedro Sanchez in Beijing, as reported by Xinhua.

Xi urged China and the European Union to cooperate in defending economic globalization and the international trade framework. The Chinese Customs Tariff Commission conveyed that US goods will struggle to find market acceptance under the inflated tariffs, and China warned it would not reciprocate further if US tariffs persist. The commission derided potential US measures as nonsensical in the global economic context.

The commission criticized the US tariffs, calling them excessively high and unfair, imposed unilaterally by President Donald Trump, and emphasized China's readiness to counter any further encroachments on its economic interests. Despite Trump's recent 90-day tariff suspension for most countries, tariffs on Chinese imports were increased to 145% due to China's retaliatory actions.

(With inputs from agencies.)