# China raises retaliatory tariffs on U.S. goods to 84%

- Link: https://www.thailand-business-news.com/china/208173-china-raises-retaliatory-tariffs-on-u-s-goods-to-84
- Published: 2025-04-09T21:47:24+07:00
- Author: Zhang Fang

In a significant escalation of the trade war between the U.S. and China, China raised
its retaliatory tariff against the U.S. to 84%, just hours after new American tariffs
took effect.

## Key Points

 * China raised its retaliatory tariff against the U.S. to 84%, escalating the trade
   war, after the U.S. lifted its new tariffs on China to a total of 104%.
 * China criticized the U.S. for violating trade agreements, filed a lawsuit against
   the new U.S. tariffs at the World Trade Organization, and added American entities
   to its export control and unreliable entity lists.
 * Despite the escalating tensions, both countries seem to be leaving the door open
   for potential negotiations, with China calling for dialogue and the U.S. urging
   China to come to the table.

The U.S. had lifted its new tariffs on China to a total of 104%, including a 20%
tariff to counter narcotics flows, a 34% “reciprocal” tariff, and a 50% additional
levy. China’s tariff commission criticized the U.S. escalation and urged the U.S.
to cancel all unilateral tariff measures.

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U.S. Treasury Secretary Scott Bessent condemned China’s response. China also added
12 American entities to its export control list, six companies to its unreliable
entity list, and filed an additional lawsuit against the new U.S. tariffs at the
World Trade Organization. The trade war has become a central issue after Trump imposed
reciprocal tariffs on about 60 countries. While some countries have sought to reduce
the tariffs through engagement with Washington, China has retaliated strongly.

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Despite the tense situation, experts believe that China is leaving the door open
for potential negotiations. However, the damage to both countries’ economies is 
expected to become visible soon. Chinese authorities have sought to shore up confidence
and vowed to unveil “new additional policies” to counter external uncertainties.
Economists anticipate China’s central bank will lower interest rates and cut the
reserve requirement ratio for banks in the coming weeks. However, these measures
may not fully offset the tariff shocks.

The U.S. and China seem to be in a high-stakes game of chicken, with neither side
willing to back down. Some observers expect further escalation, with China prepared
to implement six measures in retaliation, including halting collaboration on fentanyl-
related efforts and limiting U.S. agricultural exports.