China Responds to US Tariff Policies with 34% Levy on Imports

The finance ministry said it would impose additional tariffs of 34 per cent on all US goods from Apr 10.

China announced a series of additional tariffs and trade restrictions on United States goods as a countermeasure to the extensive tariffs imposed by President Donald Trump.

Beijing further escalated trade tensions by announcing export controls on medium and heavy rare earth elements, including samarium, gadolinium, terbium, dysprosium, lutetium, scandium, and yttrium, to the United States. The restrictions, set to take effect on April 4.

The Chinese government has implemented export controls on specific items, citing the need to safeguard national security and national interests. In a statement, the commerce ministry emphasized that the decision also aligns with China’s commitment to fulfilling international obligations, including those related to non-proliferation. This strategic move underscores the nation’s focus on protecting its priorities while adhering to global standards.

It also added 11 entities to the “unreliable entity” list, which allows Beijing to take punitive actions against foreign entities.

Nations from Canada to China have readied retaliation in an escalating trade war after Trump raised US tariff barriers to their highest level in more than a century this week, leading to a plunge in world financial markets.

In Japan, one of US’ top trading partners, Prime Minister Shigeru Ishiba said that the tariffs had created a “national crisis” as a plunge in banking shares on Friday set Tokyo’s stock market on course for its worst week in years.

Investment bank JPMorgan Chase said it now sees a 60 per cent chance of the global economy entering recession by the end of the year, up from 40 per cent previously.