The White House may announce a 104% duty on Chinese goods entering the country if the Xi Jinping administration does not drop the additional 34% tariffs on all US goods, according to the latest report from AFP published by Tass. The news agency quoted a source close to the matter saying that an announcement could be made soon.
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JUST IN: 🇨🇳🇺🇸 China says it will "fight to the end" after President Trump threatened additional 50% tariff.
— Watcher.Guru (@WatcherGuru) April 8, 2025
The 104% duty comes with 50% in addition to the already agreed duties of 54% which was announced this month. The new increase in tariffs could live from April 9, 2025, if the announcement is made on Tuesday. If the White House makes an announcement, the global stock market could react strongly and turn further towards the red.
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US & Chinese Goods: The Tariff Wars Escalate After Liberation Day
Both the US and Chinese counterparts have slapped tariffs on each other almost every week since Trump took office. China, on the other hand, is determined to “fight till the end” after Trump threatened to impose an additional 50% tariffs. Jinping and Trump are now at loggerheads as the US President called the Communist country the “biggest abuser” of America.
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Trump has imposed customs duties and tariffs on close to 185 countries across the globe. This has led to counter-tariffs from other countries leading to an imbalance in trade and transactions. Not just the US and Chinese governments, even allies are now facing the heat. America’s close ally, Europe has expressed disgust with the tariffs saying that decades-old friendship is going down the drain.
The tit-for-tat tariffs between the US and the Chinese government could make prices of goods expensive. Since China is the world’s biggest manufacturer, businesses that buy Chinese goods could place the burden of tariffs on consumers. Not all businesses can absorb the costs but the risk of a price rise could lead to lesser consumption. The development can lead to a loss in revenue and eventually snowball to job cuts.