China Promises to Counteract U.S. Tariff Threats as Tensions Escalate

As trade tensions ratchet up, China warns of retaliatory measures against proposed U.S. tariffs, underscoring the fragile economic relationship between the two nations.

China fiercely rebuked U.S. President Donald Trump on Tuesday following his ultimatum for the nation to rescind its retaliatory tariffs or face an additional 50 percent levy. The country’s commerce ministry characterized Trump’s command as "blackmail" amid escalating tensions between the two economic powerhouses.

Beijing's Ministry of Commerce issued a statement indicating awareness of the U.S. threat to impose further tariffs, highlighting that these moves would prompt China to take necessary countermeasures to protect its national interests. “The U.S. threat to escalate tariffs on China is a mistake on top of a mistake, which once again exposes the blackmail nature of the United States,” the statement read. China asserted that it would “fight to the end” rather than acquiesce to U.S. demands.

In response to Trump's recent tariff escalation, China previously announced a 34 percent tax on imports from the U.S., further heightening the stakes in this trade conflict. Trump’s potential increase might push tariffs on Chinese goods to an unprecedented 104 percent, affecting a broad range of products including clothing, cell phones, chemicals, and machinery. This escalation poses significant risks for American importers, as consumers spent $440 billion on Chinese products last year, positioning China as the second-largest source of U.S. imports after Mexico.

China urged for the removal of unilateral tariffs and called for respectful dialogue to address trade disparities, expressing frustration over the lack of substantial engagement from the Trump administration regarding potential high-level discussions between Trump and Chinese leader Xi Jinping. After previously indicating openness to dialogue, the U.S. has not reciprocated efforts for further negotiations, leaving relations strained.

Berry Wang contributed to this report, while David Pierson has a two-decade career in journalism covering China’s foreign policy and economic initiatives.