China says it’s going to ‘struggle to the top’ after Trump threatens to impose nonetheless extra tariffs

China mentioned Tuesday it will “struggle to the top” and take countermeasures towards the US to safeguard its personal pursuits after President Donald Trump threatened an extra 50% tariff on Chinese language imports.

The Commerce Ministry mentioned the U.S.’s imposition of “so-called ‘reciprocal tariffs'” on China is “fully groundless and is a typical unilateral bullying observe.”

China, the world’s second-largest economic system, has introduced retaliatory tariffs and the ministry hinted in its newest assertion that extra could also be coming.

“The countermeasures China has taken are aimed toward safeguarding its sovereignty, safety and growth pursuits, and sustaining the traditional worldwide commerce order. They’re fully respectable,” the ministry mentioned.

“The U.S. menace to escalate tariffs on China is a mistake on high of a mistake and as soon as once more exposes the blackmailing nature of the U.S. China won’t ever settle for this. If the U.S. insists by itself means, China will struggle to the top,” it added.

Analysts and merchants fear a few international commerce struggle

Trump’s menace Monday of extra tariffs on China raised recent considerations that his drive to rebalance the worldwide economic system might intensify a financially harmful commerce struggle. Inventory markets from Tokyo to New York have turn out to be extra unstable because the tariff struggle worsens.

Trump’s menace got here after China mentioned it will retaliate towards U.S. tariffs he introduced final week.

“If China doesn’t withdraw its 34% improve above their already long run buying and selling abuses by tomorrow, April eighth, 2025, the US will impose ADDITIONAL Tariffs on China of fifty%, efficient April ninth,” Trump wrote on Fact Social. “Moreover, all talks with China regarding their requested conferences with us might be terminated!”

If Trump implements his new tariffs on Chinese language merchandise, U.S. tariffs on Chinese language items would attain a mixed 104%. The brand new taxes can be on high of the 20% tariffs introduced as punishment for fentanyl trafficking and his separate 34% tariffs introduced final week. Not solely might that improve costs for American customers, it might additionally give China an incentive to flood different nations with cheaper items and search deeper relationships with different buying and selling companions, notably the European Union.

Chinese language folks fear, however hold religion with their nation

On the streets of Beijing, folks mentioned they discovered it laborious to maintain observe of all of the bulletins, however expressed perception of their nation’s potential to climate the storm.

“Trump says one factor right now and one other tomorrow. Anyway, he simply needs advantages, so he can say no matter he needs,” mentioned Wu Qi, 37, who works in development.

Others have been much less sanguine. Paul Wang, 30, who sells stainless equipment, together with necklaces, bracelets, and tongue studs to Europe, mentioned the European market was now extra vital after the additional U.S. 50% tariffs and he can be watching to see which different companies in his discipline can be competing in that area.

Jessi Huang and Yang Aijia, whose firms import chemical compounds from the U.S., mentioned the tariffs, together with potential Chinese language retribution, might drive them to shut up store.

“It might be very laborious and really more likely to have a layoff, perhaps even closing,” Huang mentioned, “I may not be capable of discover one other job if I get laid off.”

China is not out of choices to retaliate

China nonetheless has a spread of choices to strike again on the Washington, specialists mentioned, together with suspending cooperation on combating fentanyl, putting increased quotas on agricultural merchandise and going after the U.S. commerce in providers in China corresponding to finance and legislation companies.

U.S. whole items commerce with China was an estimated $582 billion in 2024, making it the highest dealer in items with the U.S. The 2024 deficit with China in items and providers commerce was between $263 billion and $295 billion.

International Ministry spokesperson Lin Jian appeared to present quick shrift to speak of dialogue with the Trump administration.

“I do not assume what the U.S. has completed displays a willingness for honest dialogue. If the U.S. actually needs to interact in dialogue, it ought to undertake an perspective of equality, mutual respect and mutual profit,” Lin mentioned.

In Hong Kong, the place shares have been barely increased Tuesday, Chief Govt John Lee blasted the newest U.S. tariffs as “bullying,” saying the “ruthless conduct” has broken international and multilateral commerce and introduced nice dangers and uncertainties to the world.

Lee mentioned town would hyperlink its economic system nearer to China’s growth, signal extra free commerce agreements, entice extra international firms and capital to Hong Kong, and help native enterprises in dealing with the impression of the tariffs.