China will raise tariffs on all US goods to 125% with effect from 12 April, up from 84%.
The new tariff now matches the so-called ‘reciprocal’ levy imposed by the US on Chinese imports, although Beijing said it won’t go any higher.
If we count tariffs the US previously imposed on China, the current rate on imported goods is 145%.
“Even if the US continues to impose higher tariffs, it will no longer make economic sense and will become a joke in the history of world economy,” said the Finance Ministry in a statement.
“At the current tariff level, there is no market acceptance for US goods exported to China. If the US continues to play the tariff numbers game, China will ignore it. However, if the US insists on continuing to substantially infringe on China’s interests, China will resolutely counterattack and fight to the end,” it continued.
Ahead of the US markets opening, the S&P 500 and Dow Jones fell in response to the news, extending a week of market volatility. The dollar slipped almost 2% against the euro shortly after China’s announcement.
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SOURCE: EURONEWS
