China threatens countermeasures as Trump’s tariffs escalate trade tensions
The trade dispute between the United States and China has intensified following President Donald Trump’s latest announcement of new tariffs on Chinese goods. These tariffs, which are set to increase the levy on many Chinese imports by 34%, build on earlier actions taken by Trump, including a 20% tariff and additional duties since January. The White House has justified the tariff hike as a necessary measure to combat the illegal flow of fentanyl from China to the U.S. However, Beijing has strongly opposed these actions, accusing the U.S. of violating international trade rules and disrupting global economic stability.
China’s Ministry of Commerce condemned the new tariffs, calling them unilateral and inconsistent with international trade norms. In a statement issued Thursday, the ministry vowed to take countermeasures to protect China’s interests and rights, urging the U.S. to resolve the disputes through dialogue. Beijing further argued that the tariff increases were based on subjective and unfair assessments, which damage the legitimate rights of other parties involved in global trade.
The escalating tariff war between the two largest economies in the world has significant implications for global trade. The new tariffs, which include a 10% tax on all imports and higher duties on foreign-made cars, are among the most extensive in U.S. history. Analysts warn that these moves could reshape international trade relations and negatively impact the $500 billion bilateral trade between the U.S. and China. Businesses with supply chains in China are already facing difficulties, with some multinational companies relocating production to other parts of Asia to avoid tariffs.
In response to the trade tensions, China, Japan, and South Korea have vowed to strengthen regional trade cooperation. The three Asian economic giants held their first economic dialogue in five years on Sunday, where their trade ministers agreed to pursue a trilateral free trade agreement. This initiative aims to promote regional economic stability and counter the disruptions caused by Trump’s tariffs, signaling a shift toward deeper economic collaboration within Asia to mitigate the impact of the ongoing trade war.
Source: Naira metrics