President Donald Trump has officially raised U.S. tariffs on all Chinese imports to 125%, delivering on his warning after Beijing’s own 84% retaliation earlier today. The move marks a critical turning point in the deepening trade war and comes just hours after Trump offered a temporary 90-day pause on tariffs for U.S. allies.
“Based on the lack of respect that China has shown to the World’s Markets, I am hereby raising the Tariff charged to China by the United States of America to 125%, effective immediately,” Trump wrote on Truth Social.
The Timeline:
- 8 AM: China imposes 84% retaliatory tariffs on U.S. goods
- 1 PM: Trump announces tariffs on China to jump from 104% → 125%
- 2 PM: White House confirms the increase goes into effect tonight at midnight
- 3 PM: Treasury Secretary Bessent calls the move “decisive” and “unavoidable”
- 4 PM: Dow pares earlier gains, closes up just +0.8% after surging on tariff pause news
What Trump Said:
“China has chosen the opposite direction. At some point, they’ll realize the rip-off is no longer sustainable,”
— President Trump, April 9
China’s Response:
The State Council Tariff Commission slammed Trump’s move as “a mistake upon a mistake,” adding it “severely infringes upon China’s legitimate rights and interests.”
Beijing vowed to “fight to the end,” signaling more retaliation could follow.
What’s at Stake:
- 🔁 U.S.-China trade tensions now at highest point since 2018
- 🧾 Analysts warn of further supply chain shocks and consumer price spikes
- 🧨 Recession odds remain elevated:
- Goldman Sachs: 45% chance
- JPMorgan: Recession now “base case” if tariffs hold
The Big Picture:
While U.S. allies got relief with a 90-day pause on reciprocal tariffs, China was left isolated — and punished. Trump’s move signals an “America First, China Last” strategy, with global markets now caught in the crossfire.
“The President showed allies a path to peace and gave China the clearest warning yet,” Commerce Secretary Lutnick said.
“This is leverage. And it’s working.”
What’s Next?
- U.S. trade officials meet with Vietnam, Japan, and the UK this week
- China’s next move could involve rare earths, tech components, or currency controls
- Trump remains defiant: “America punches back harder. That’s how we win.”
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