China Strikes Back: Retaliatory Tariffs Spark Intensifying US-China Trade War

China announces a 34% tax on US imports, escalating retaliatory measures against President Trump's tariffs. This move, including rare earth export controls and trade restrictions on US firms, marks a significant response amid strained US-China relations. With further legal actions at WTO, tensions continue to rise.

China announced this Friday the imposition of a 34% tax on all US imports, marking a significant escalation in its retaliatory measures against US President Donald Trump's tariffs. This represents the strongest response yet from Beijing in the ongoing trade war with the United States.

The tariffs, set to take effect Thursday, match the rates imposed by Trump on Chinese goods entering the US. Earlier this year, Trump implemented two rounds of 10% tariffs, justifying the move by accusing Beijing of being involved in the fentanyl crisis. This latest development sent US stock markets tumbling on Friday.

In addition to the import tax, China has increased export controls on rare earth minerals crucial for various technologies and filed a lawsuit with the World Trade Organization. The Commerce Ministry of China criticized Trump's tariffs as a unilateral bullying practice threatening the international economic and trade order.

(With inputs from agencies.)