Trump, China up trade war risks with tariff threats

Trump 'appears locked in a high-stakes game of chicken, with the world's economy hanging in the balance'

(Image credit: Kevin Dietsch / Getty Images)

published 8 April 2025

What happened

President Donald Trump Monday warned China he would slap an extra 50% tariff on top of the 34% import tax he announced last week if Beijing retaliated with its own elevated tariffs. China called Trump's "threat to escalate" a "mistake on top of a mistake" and a form of "blackmail," adding: "China will fight to the end."

Trump's tariffs are "increasingly alienating" key "corporate titans, influencers and even Republican lawmakers" who have previously boosted his "shock-and-awe presidency," The Washington Post said. A "false dawn" from a rumor of a 90-day tariff pause "fueled a brief rally" in stocks followed by "wild swings," said The Wall Street Journal, an episode that highlighted the "increasing desperation on Wall Street as the trade-war rout of 2025 extends into a new week."

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Trump's "reciprocal" tariffs start Wednesday, and if he follows through on his threat, "U.S. tariffs on Chinese goods would reach a combined 104%," The Associated Press said. That would "increase prices for American consumers" but also "give China an incentive" to "seek deeper relationships with other trading partners, particularly the European Union," which is preparing its own retaliatory tariffs.

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Rafi Schwartz has worked as a politics writer at The Week since 2022, where he covers elections, Congress and the White House. He was previously a contributing writer with Mic focusing largely on politics, a senior writer with Splinter News, a staff writer for Fusion's news lab, and the managing editor of Heeb Magazine, a Jewish life and culture publication. Rafi's work has appeared in Rolling Stone, GOOD and The Forward, among others.