BEIJING — China has issued a defiant response to the United States’ latest tariff threats, warning that it is prepared to take firm countermeasures if President Donald Trump follows through on a proposal to raise tariffs on Chinese imports by as much as 50%.
In a strongly worded statement released Tuesday, China’s Ministry of Commerce accused the U.S. of resorting to “blackmail” and pledged to protect the country’s economic interests with equal force. The remarks followed Trump’s announcement of sweeping new trade penalties on Chinese goods, a move that has sparked fears of a deeper global economic downturn and an intensification of trade hostilities between the world’s two largest economies.
“The U.S. threat to escalate tariffs against China is a mistake on top of a mistake, which once again exposes the U.S.’s blackmailing nature,” a ministry spokesperson said. “If the U.S. insists on going its own way, China will fight it to the end.”
Tariff tensions escalate as both sides dig in
President Trump recently proposed raising tariffs on a wide range of Chinese goods by 50%, adding to a series of aggressive trade policies that have defined his administration’s approach to China. These measures come on top of existing 34% tariffs already levied on billions of dollars’ worth of Chinese exports.
In response, China announced it would match those tariffs with an identical 34% duty on American imports, set to take effect Thursday. Beijing said the move is part of a broader strategy to defend its economy and assert its sovereignty in the face of what it sees as unilateral and unjustified U.S. trade actions.
The tit-for-tat moves have once again raised concerns over the potential for a full-blown trade war, with analysts warning that sustained escalation could disrupt global supply chains, inflate consumer prices, and slow economic growth around the world.
China signals readiness for dialogue—but sets clear conditions
Despite its firm stance, China’s commerce ministry reiterated its preference for diplomacy over confrontation, saying it remains open to resolving trade disputes through dialogue. However, it made clear that any negotiation must be conducted on equal footing and without coercion.
“There are no winners in a trade war,” the ministry said. “China has always advocated for resolving differences through communication and mutual respect. But if the United States continues to escalate, we will not back down.”
Beijing has consistently positioned itself as a defender of multilateralism and global trade norms in contrast to the Trump administration’s more protectionist stance. Chinese officials have often emphasized that their retaliatory actions are reactive rather than provocative, aimed at preserving fairness rather than seeking conflict.
Trump’s tariffs stir global economic fears
The renewed threat of higher tariffs from the Trump administration has once again rattled financial markets and drawn criticism from U.S. allies and international organizations. Economists have warned that prolonged trade tensions between the U.S. and China—two countries that collectively represent nearly 40% of global GDP—could drag the global economy into a prolonged period of uncertainty.
Businesses on both sides of the Pacific have expressed growing concern over the impact of the tariffs. In the U.S., manufacturers, agricultural exporters, and tech companies have voiced frustration over lost access to Chinese markets and higher input costs. In China, exporters are bracing for reduced demand and disrupted supply chains, especially in industries like electronics, machinery, and textiles.
Global institutions such as the International Monetary Fund and the World Trade Organization have repeatedly called for restraint, urging both Washington and Beijing to resolve their differences through the rules-based trading system.
Background: A long-simmering trade dispute
The U.S.-China trade dispute dates back to 2018, when President Trump first imposed tariffs on Chinese goods citing concerns over unfair trade practices, intellectual property theft, and a growing bilateral trade deficit. The Chinese government responded with its own tariffs, leading to a series of escalating rounds of duties that affected hundreds of billions of dollars in goods.
Though a partial agreement known as the “Phase One” trade deal was signed in early 2020, tensions have remained high, particularly over issues related to technology, data security, and market access. The COVID-19 pandemic and geopolitical disagreements have further complicated efforts to mend economic ties between the two nations.
Trump has continued to defend his trade policies as necessary for protecting American industry and reducing reliance on Chinese supply chains. Critics, however, argue that the tariffs have failed to achieve their core objectives while inflicting harm on consumers and small businesses.
What’s next: A standoff with global implications
With China warning of “resolute countermeasures” and Trump signaling readiness to push ahead with additional tariffs, the standoff appears far from over. Analysts say the coming weeks will be crucial in determining whether the two powers return to the negotiating table or allow the conflict to spiral further.
“If there is no effort to de-escalate, the risks to the global economy could be significant,” said Dr. Lina Koh, an international trade analyst at the Global Policy Institute. “This is not just a bilateral issue anymore—it’s a systemic threat to global economic stability.”
For now, the world’s attention turns to Thursday, when China’s latest tariffs on U.S. goods are set to come into effect. Whether Washington will view the move as a provocation or a prompt for dialogue remains to be seen.
As both sides prepare for the next phase in their economic rivalry, one thing is clear: the stakes are higher than ever in the U.S.-China trade war, and the world is watching closely.
