US Imposes 145% Tariffs on China, Fuels Trade War

Tariffs on China: The Trump administration continues with its relentless aggression to escalate the trade war with China as the US imposed 145 percent tariffs on China. The additional 20 percent was added to the previously implemented 125 percent to penalize China regarding the ongoing trade imbalances over fentanyl trafficking.

The White House refuses to back down from its aggressive trade policies, reiterating the Trump administration’s goal of the “America First” ideology, also addressing national security concerns. President Trump said, “We are taking necessary steps to ensure fair trade and to protect our nation’s interests.”

In a retaliatory move, the Chinese government imposed extra tariffs of up to 84 percent on US goods, including agricultural products and automobiles. The Chinese Ministry of Commerce criticized the U.S. actions as “short-sighted” and warned of severe consequences for global trade stability.

The ongoing trade war has significantly affected the stability of global financial markets. The Dow Jones Industrial Average fell by over 1,100 points (approximately 2.8%), while the Nasdaq Composite dropped around 4.3%. Investors are deeply concerned about the potential prolonged trade war situation and its adverse effects on the global economy.

Several economists have warned against this tit-for-tat tariff imposition, since it could disrupt supply chains, increase consumer prices, and slow economic growth. Dr. Michelle Tan, a senior analyst at GlobalTradeWatch, commented, “The escalation of tariffs between the U.S. and China poses significant risks to global economic stability and could have long-term repercussions.”

The two superpowers refuse to back down and continue this trade war, as the world watches and hopes for a resolution that will prevent any economic fallout in the near future.

Edited by Pranoy Shukla