US Imposes 245% Tariff on China Amid Escalating Trade Tensions

  • 16/04/2025

Washington, D.C.: Trade tensions between the United States and China have sharply escalated, with the US government imposing a 245% tariff on imports from China, according to a fact sheet released by the White House. This marks a significant increase from the previous 145% tariff, underscoring the deepening rift between the two economic giants.

The new tariff hike comes as China retaliated against earlier US actions, prompting Washington to exclude Beijing from ongoing trade negotiations. “More than 75 countries have already reached out to discuss new trade deals,” the White House stated, highlighting that individualised higher tariffs have been paused for most countries—except China.

Trump’s “Fair and Reciprocal Plan”
President Donald Trump, in his second term, has doubled down on his "Fair and Reciprocal Plan" to ensure balanced trade relationships. As part of this strategy, a 10% baseline tariff remains in effect on imports from all countries. However, nations with which the US has large trade deficits have been subjected to reciprocal higher tariffs.

The goal, according to the administration, is to protect national security and restore fairness in international trade. “We are matching tariffs imposed by others to level the playing field,” said President Trump, reaffirming his commitment to tariff reciprocity with not only China but also countries like India.

Global Market Impact
The tariff hike has sent shockwaves through global financial markets. Stock markets in Asia and Europe have plunged, with the US markets also witnessing sharp sell-offs. Economists warn that such protectionist measures may fuel inflation and undermine global economic growth, even as negotiations continue with several nations.

As the trade standoff continues, all eyes remain on whether China and the US will resume talks or further deepen their economic confrontation.

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