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Trump threatens 50% tariff on China, gives 24-hour ultimatum to undo reciprocal move

April 7, 2025

19:15

Trump threatens additional tariffs on China
Trump threatens additional tariffs on China

WASHINGTON — President Donald Trump has announced an additional 50% tariff on Chinese imports, escalating the ongoing trade conflict to unprecedented levels. The latest move brings the total U.S. tariff burden on Chinese goods to a staggering 84%, marking the highest rate in the history of the U.S.-China trade relationship.

The decision comes less than two days after Beijing imposed a retaliatory 34% tariff on American products — a response to Trump’s earlier round of reciprocal duties unveiled last week.

White House issues sharp ultimatum to China

In a post on Truth Social, President Trump cited China’s alleged “long-term tariff abuse” and “massive currency manipulation” as justification for the new round of penalties. He warned that unless Beijing rolls back its latest tariff hike by April 8, the United States will proceed with the full 94% effective rate — combining the new 50% hike with an already-in-place 10% global tariff and earlier sanctions.

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“Yesterday, China issued retaliatory tariffs of 34 percent, on top of their already record-setting tariffs, non-monetary tariffs, illegal subsidization of companies, and massive long-term currency manipulation,” Trump wrote. “Despite my warning… [China] will be immediately met with new and substantially higher tariffs.”

“If China does not withdraw its 34 percent increase above their already long-term trading abuses by tomorrow, April 8th, 2025,” he added, “the United States will impose additional tariffs on China of 50 percent, effective April 9th.”

Trump threatens to halt diplomatic engagement

In the same statement, Trump made clear that China’s request for renewed trade talks would be rejected outright if Beijing does not comply.

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“Additionally, all talks with China concerning their requested meetings with us will be terminated!” he wrote. “Negotiations with other countries, which have also requested meetings, will begin taking place immediately.”

The latest measures mark a sharp pivot away from any immediate path to diplomacy, with the administration signaling it will only reward non-retaliating countries with access to trade negotiations.

Global markets reel as tariff conflict deepens

The intensifying standoff between the world’s two largest economies has sent shockwaves through global markets. Stock exchanges in Asia, Europe, and North America have plummeted in the past 72 hours, while crude oil prices continued their downward spiral amid fears of a broader economic slowdown.

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The selloff began on April 2, when Trump announced a blanket 10% global tariff — calling it “reciprocal” in nature — in response to what he described as decades of unfair trade practices.

“These are, as the name suggests, just reciprocal — which means we do to them what they do to us,” Trump said during his initial announcement last Wednesday.

Beijing warns of ‘painful trade war’

China, which has long been in Trump’s crosshairs for what he calls “gross tariff abuse,” responded swiftly to the latest escalation. Officials in Beijing had earlier warned that U.S. tariffs would provoke a “painful trade war” that would “not benefit anyone.”

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The additional 34% tariff imposed by China last weekend matched the rate announced by Trump in his previous directive — reinforcing the tit-for-tat nature of the conflict.

With no clear off-ramp in sight, economists now warn that the global economy could be headed for a prolonged period of instability — unless one side moves to de-escalate.

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