In a retaliatory move against U.S. tariffs, China has announced a series of new measures aimed at countering the sweeping tariffs imposed by U.S. President Donald Trump.
On Friday, China’s Finance Ministry confirmed that it will impose additional tariffs of 34% on all U.S. goods starting on April 10, further escalating the trade tensions between the two economic giants.
New Tariffs and Export Controls
The new tariffs are part of China’s broader response to the U.S. tariffs, which have had a significant impact on global trade. In addition to the tariffs, Beijing also revealed that it would implement controls on the export of several medium and heavy rare-earth elements to the United States. These include critical materials such as samarium, gadolinium, terbium, dysprosium, lutetium, scandium, and yttrium. These export restrictions will come into effect on April 4, 2025.
The move to impose export controls on these rare-earth elements, which are vital for a range of high-tech industries, including electronics and defense, is seen as a strategic response to safeguard China’s national security and economic interests. The Chinese government has emphasized that these measures align with international obligations, including non-proliferation commitments.
China’s “Unreliable Entity” List Expanded
In a further escalation of tensions, China added 11 foreign entities to its “unreliable entity” list. This designation allows the Chinese government to take punitive actions against companies or individuals that are seen as harmful to China’s interests. The list is part of China’s broader strategy to retaliate against what it perceives as hostile foreign policies.
The Commerce Ministry stated that the purpose of these new measures, including the export controls and the expansion of the “unreliable entity” list, is to better safeguard China’s national security and to fulfill its international obligations. This is the latest development in a series of trade-related actions and counteractions between the U.S. and China, which have been escalating over the past few years.
Global Trade and Economic Impact
The latest round of tariffs and export restrictions is likely to have significant implications for global trade, particularly for industries reliant on rare-earth elements and high-tech manufacturing. As both the U.S. and China continue to escalate trade tensions, the effects of these measures will be felt not only in the two countries but also across the global economy.
The addition of rare-earth exports to the list of targeted goods highlights China’s strategic control over key materials that are essential to many advanced technologies. These materials are used in the production of electronics, renewable energy technologies, and military applications, giving China significant leverage in the ongoing trade conflict.
Conclusion
China’s retaliatory measures against the U.S. tariffs mark a continued escalation of the trade war between the two nations. With the imposition of new tariffs, export controls on rare-earth elements, and the expansion of the “unreliable entity” list, Beijing is signaling its intent to protect its national interests while challenging the U.S. in key economic sectors. As these tensions continue to rise, the global trade landscape remains uncertain, with potential ripple effects for industries and markets worldwide.
Kosta Gushterov
Reporter at Coindoo
Kosta has been a part of the team since 2021 and has solidified his position with a thirst for knowledge, incredible dedication to his work and a “detective-like” mindset. He not only covers a wide range of trending topics, he also creates reviews, PR articles and educational content. His work has also been referenced by other news outlets.
Source: https://coindoo.com/china-announces-additional-tariffs-and-export-controls-in-response-to-u-s-tariffs/