China tariffs on U.S. products are the start of a significant escalation in trade tensions between the world’s two largest economies. In response to U.S. President Donald Trump’s 10% tariff implementation, China also announced retaliatory measures targeting key American exports, and this is increasing the intensity of the ongoing trade war escalation between the two nations.

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China Retaliates With Tariffs On U.S. Goods As Trade Tensions Rise

Xi Jinping and Donald Trump
Source: BBC

New Tariff Implementation

The Ministry of Commerce just unleashed an absolute monster of a tariff package! Several U.S. exports are getting completely hammered with a massive 15% tariff on coal and LNG, while various other products are taking a savage 10% hit to the gut. We’re talking about tons of crude oil, mountains of farming equipment, and those beast-mode American cars – and get this – multiple sectors are totally freaking out before these measures drop like a bomb next Monday.

China’s Ministry of Commerce said:

“The US’s unilateral tariff increase seriously violates the rules of the World Trade Organisation. It is not only unhelpful in solving its own problems, but also damages normal economic and trade cooperation between China and the US.”

Critical Mineral Export Controls

America tariffs on China
Source: VisualCapitalist

You’re not gonna believe this – China’s unleashing its full arsenal on several essential elements. They’re trying to choke the supply of some absolutely crucial materials, like tungsten and tellurium. These fresh restrictions are stacking on top of various controls they slammed on gallium back in December 2024.

Trump, addressing EU trade relations, had this to say:

“But the European Union, it’s an atrocity what they’ve done.”

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Corporate Restrictions and Market Response

Brace yourselves – several mega U.S. companies just got catapulted onto China’s corporate blacklist! Multiple fashion brands under PVH Group are getting the squeeze of their lives, while numerous restrictions are basically demolishing Illumina’s operations. These companies? They’re all banned – no Chinese imports, no exports, game over!

Trump, discussing trade imbalances with the EU, said:

“They take almost nothing and we take everything from them.”

Google Investigation Launch

The exact second Trump’s tariffs landed, China dropped an antitrust nuke on Google. Some market gurus are saying this is Beijing’s way of showing they’ll go full beast mode on various U.S. tech giants in this trade throwdown.

Expert Analysis

Philip Luck, economist at the Center for Strategic and International Studies and former State Department official, said:

“They have a much more developed export control regime. We depend on them for a lot of critical minerals: gallium, germanium, graphite, and a host of others. So … they could put some significant harm on our economy.”

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The impact is going totally nuclear beyond just these two powerhouses. While Trump’s hitting pause on Mexico and Canada for some deal-making magic, the EU situation is getting spicier by the minute.

Trump had this to say regarding the EU trade measures: “Tariffs would definitely be placed on goods from the EU.”