by Temitope Oladeji
4/4/2025
China has unveiled a series of retaliatory measures against the United States in response to tariffs imposed by President Donald Trump, intensifying an already escalating trade war.
Among these countermeasures are additional tariffs of 34 percent on all US goods and stringent curbs on the export of key rare earth minerals.
President Trump announced on Wednesday that China would face a new 34 percent tariff on its exports, adding to the 20 percent levy imposed earlier in the year.
This brings the total new tariffs to 54 percent, significantly increasing trade tensions between the two global economic giants.
China’s Ministry of Finance confirmed on Friday that its additional tariffs would take effect from April 10.
This follows earlier retaliatory measures, including a 15-percent tariff on US coal and liquefied natural gas (LNG) in response to Washington’s 10-percent duties on Chinese goods.
In addition to tariffs, China has implemented stringent export controls on critical minerals and businesses, limiting the scope of trade with the United States.
“The purpose of the Chinese government’s implementation of export controls on relevant items by law is to better safeguard national security and interests, and to fulfill international obligations such as non-proliferation,” the Ministry of Commerce stated.
In response to China’s latest actions, Trump took to social media with a fiery post in all capital letters, declaring: “CHINA PLAYED IT WRONG, THEY PANICKED – THE ONE THING THEY CANNOT AFFORD TO DO!”
Despite President Trump’s remarks, Beijing has proceeded with its countermeasures and has formally filed a complaint with the World Trade Organization (WTO) against the new US tariffs.
The complaint argues that the measures violate World Trade Organization (WTO) rules and requests consultations with Washington.
China’s latest export restrictions specifically target rare earth elements essential to high-tech industries, including samarium, gadolinium, terbium, dysprosium, lutetium, scandium, and yttrium which will take effect on April 4, restricting the United States’ access to these critical materials.
Furthermore, Beijing has expanded its crackdown on all American businesses in China.
It added 16 United States entities to its export control list, barring them from receiving dual-use items with both civilian and military applications.
In a further blow, 11 additional United States companies were placed on China’s “unreliable entities” list, subjecting them to punitive actions.
Among the targeted firms are Skydio Inc. and BRINC Drones, both penalized for their involvement in arms sales to Taiwan, a self-governing island that China claims as its territory.
According to the Chinese Commerce Ministry, these companies have “seriously undermined” China’s national sovereignty, security, and development interests.
As a result, they will be banned from new investments, imports, and export activities within China.
With both nations locked in a cycle of tariffs and countermeasures, the trade war between the United States and China shows no signs of easing.
Beijing’s new actions signal its readiness to challenge Washington’s aggressive policies, while Trump’s administration remains firm against what it perceives as unfair trade practices.
As diplomatic and economic hostilities continue between the two world powers, global markets brace for further disruptions. Industries dependent on rare earth materials and cross-border trade are caught in the crossfire.