The White House confirmed that the new tariff structure imposed on April 9 followed Trump’s ultimatum to Beijing to roll back its retaliatory 34 percent duties on American goods.
President Donald Trump’s new tariffs will significantly increase the cost of certain goods imported from other countries. Notably, items from China will face 104% tariffs. This means that products from China will cost much more for consumers and businesses.
According to the research, Li and Ursula Von der Leyen spoke on the phone just hours before Donald Trump proposed new tariffs on the European and Chinese economies. Europe would face an extra 20% tax on goods, while China would face a massive tax of 104% starting on April 9. A U.S. official confirmed that the government is indeed proceeding with this significant increase in tariffs.
China has stood firm in its response to the trade tensions with the United States. After the U.S. imposed a 34 percent tariff on certain goods, China quickly matched it by placing the same tariff on American products on April 10.
The Chinese government accused the U.S. of increasing economic pressure and promised to take strong action to protect its national interests. Additionally, on April 4, China announced that it would start controlling the export of several important rare-earth materials, which are essential for various high-tech products. These include samarium, gadolinium, terbium, dysprosium, lutetium, scandium, and yttrium.
However, U.S. stock prices fell again on Tuesday, marking the fourth consecutive day of losses since Trump announced new tariffs last week. The S&P 500 index, a key measure of the stock market, closed below 5,000 for the first time in almost a year. This drop means the index is now nearly 19% lower than its peak earlier this year on February 19, getting close to a number that typically signals a bear market, which is when stock prices drop significantly.