Trump threatens further tariffs on China as global markets plunge
Mr Trump’s threat of an additional 50% tariff, which he delivered on social media, came after China said it would retaliate against US tariffs.
US President Donald Trump threatened additional tariffs on China on Monday, raising fresh concerns that his drive to rebalance the global economy could lead to a trade war.
Mr Trump’s threat, which he delivered on social media, came after China said it would retaliate against US tariffs announced last week.
“If China does not withdraw its 34% increase above their already long term trading abuses by tomorrow, April 8th, 2025, the United States will impose ADDITIONAL Tariffs on China of 50%, effective April 9th,” he wrote on Truth Social.
“Additionally, all talks with China concerning their requested meetings with us will be terminated!”
If Mr Trump implements his plans, US tariffs on imports from China would reach a combined 104%.
The new taxes would be on top of the 20% tariffs announced as punishment for fentanyl trafficking and his separate 34% tariffs announced last week.
Not only could that increase prices for American consumers, it could give China an incentive to flood other countries with cheaper goods and seek deeper partnerships with other trading partners.
Mr Trump faces mounting pressure in the financial markets and from business leaders to backtrack on his tariff ambitions, yet he has shown no signs of reversing course or finding a message to calm panicked markets.
The White House said on Monday that Mr Trump would veto a Senate bill that would mandate congressional approval for new tariffs, a bet that the critical mass of Republican members will loyally back his taxes on imports despite the economic and political chaos being created.
Mr Trump has remained defiant as the stock market continued plunging and fears of a recession grew.
“Be Strong, Courageous, and Patient, and GREATNESS will be the result!” he wrote.
The Dow Jones Industrial Average dropped 1,200 points as trading began on Monday morning, and the S&P 500 was on track to enter a bear market, which means falling 20% from a recent high.
Even some of Mr Trump’s allies are raising alarms about the economic damage, and financial forecasts suggest more pain on the horizon for US businesses, consumers and investors.
The Republican president has insisted his tariffs are necessary to rebalance global trade and rebuild domestic manufacturing.
He accused other countries of “taking advantage of the Good OL’ USA!” on international trade and said “our past ‘leaders’ are to blame for allowing this”.
He singled out China as “the biggest abuser of them all” and criticised Beijing for increasing its own tariffs in retaliation.
