US President Donald Trump has warned China that he will impose an additional 50% tariff on its goods unless it withdraws a 34% counter-tariff announced on Friday. The move would raise the total tariff on Chinese imports to 104%.
Posting on Truth Social, Trump said China’s action defied his earlier warning that any retaliatory measures would be met with “substantially higher” US tariffs. The trade dispute has sparked fears of a global trade war and sent stock markets into turmoil. Hong Kong’s Hang Seng index plunged over 13%, its worst drop since 1997, while European markets also closed lower.
China’s manufacturing sector could be hit hard, as the US remains a major export destination.
Trump said talks on tariff rates would begin immediately. He is scheduled to meet Israeli Prime Minister Benjamin Netanyahu today, with trade expected to be among the topics. Japan is reportedly sending a delegation for negotiations, and EU Commission President Ursula von der Leyen offered a “zero-for-zero tariff” deal, while warning of possible EU countermeasures.
