Trump Issues Warning to China with 50% Additional Tariff, Doubling Total Levies Beyond Product Value
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Synopsis
On April 8, President Donald Trump warned China of a potential 50% tariff increase, which would raise total tariffs beyond product value. He also announced the cessation of negotiations with Beijing, amidst ongoing tensions in the US-China trade relationship.
Key Takeaways
- Trump threatens China with a 50% tariff increase.
- Total tariffs could exceed 104% of product value.
- US consumers may face severe impacts from high tariffs.
- Negotiations with Beijing on tariffs will cease.
- EU proposes a zero-for-zero tariff deal with the US.
New York, April 8 (NationPress) President Donald Trump has issued a warning to China regarding a potential 50 per cent tariff increase, which would elevate the total levies to exceed the value of products, effectively doubling the existing global reciprocal tariffs.
On Truth Social this Monday, he stated, “If China does not retract its 34 per cent increase above their already longstanding trading malpractice by tomorrow, April 8th, 2025, the US will impose ADDITIONAL Tariffs on China of 50 per cent, effective April 9th.”
Trump also declared he would cease any ongoing negotiations with Beijing concerning tariffs.
When combined with other tariffs, the total could rise to 104 per cent.
If neither party concedes in this US-China tariff standoff, tariffs exceeding the cost of imported goods could severely impact US consumers reliant on China for numerous essential items.
Trump’s comments followed China’s announcement of 34 per cent tariffs on US imports, which aligned with the reciprocal levies Trump had previously declared.
Reaffirming a lack of intention to pause the reciprocal tariffs, Trump stated to reporters, “We’re not considering that.”
Following a meeting with Israel’s Prime Minister Benjamin Netanyahu, he remarked, “I don't mind enduring this because I envision a promising outcome.”
These threats emerged as US stock markets managed to halt their steep declines last week, with the NASDAQ inching up by 0.1 per cent on Monday, while the broader S&P Index experienced a slight drop of 0.23 per cent.
There was a brief moment of optimism when the S&P rose by 3.4 per cent due to rumors of a potential 90-day pause on reciprocal tariffs, which was quickly dismissed by the White House, leading to a decline.
Trump asserted, “We are making significant progress with numerous nations. The countries that previously took advantage of us are now requesting negotiations.”
After a discussion with Japan’s Prime Minister Shigeru Ishiba, Trump mentioned that Tokyo is dispatching a delegation to engage in talks.
Secretary of State Marco Rubio had a conversation with External Affairs Minister S Jaishankar regarding reciprocal tariffs on India and the pursuit of a fair trade relationship, as stated by the State Department.
European Union President Ursula von der Leyen proposed a “zero-for-zero” agreement to eliminate tariffs on industrial goods, including automobiles, provided that Trump reciprocates.
“We are always open to a beneficial deal,” she conveyed on X.
However, she cautioned, “We are also ready to implement countermeasures and safeguard ourselves against indirect effects due to trade diversion.”
Reports indicate that the EU will impose its own reciprocal tariffs in two phases, one next week and another in May.
Two Republican Senators, Mike Lee and Ron Johnson, urged Trump on X to accept the proposed deal.
Though no tariff concession for Israel was disclosed, Netanyahu claimed that Israel would eliminate the US trade deficit with his nation and suggested it could serve as a model for other countries.
