China Imposes 125% Retaliatory Tariff on U.S. Goods – Trade Tensions Intensify

China has officially confirmed the imposition of a 125% tariff on imports from the United States, significantly escalating the ongoing trade tensions between the world’s two largest economies. This strong retaliatory move from Beijing is expected to have far-reaching consequences for global supply chains and international logistics operations.

1. Details of China’s New Retaliatory Tariff

According to an announcement from China’s Customs authorities on April 11, tariffs on U.S. goods imported into China will rise to 125%. This decision comes in direct response to President Donald Trump’s earlier move to raise tariffs on Chinese imports from 84% to 125%.

The Chinese Customs statement highlighted that, "Even if the U.S. continues to impose high import tariffs, it no longer carries economic significance. At the current rate, U.S. goods effectively have no opportunity in the Chinese market anymore."

This increase means U.S. exporters now face dramatically higher costs, which will inevitably push prices up and complicate logistics flows, forcing supply chain adjustments across the board.

2. China’s Firm Stance Against U.S. Trade Policies

Just hours before the retaliatory tariffs were announced, Chinese President Xi Jinping publicly addressed the growing trade dispute for the first time. During a meeting with Spanish Prime Minister Pedro Sanchez in Beijing on April 11, President Xi reiterated that China is "not afraid" of the tariff war with the United States and stressed that "no one wins in a trade war."

He further affirmed China’s confidence in effectively managing its domestic affairs, regardless of changes in the external environment.

Meanwhile, the spokesperson for China’s Ministry of Commerce declared a strong opposition to the U.S.'s unilateral tariff actions. The ministry confirmed that China will implement responsive measures to defend its national interests and urged the U.S. to revoke its "retaliatory import tariffs" and correct its wrongful actions.

For logistics and import-export businesses, this ongoing escalation demands immediate evaluation of supply chain risks and contingency planning to navigate the increasingly complex trade landscape between the U.S. and China.

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