Tariff War / China's response to Trump's tariff, imposed 34% tax on all American products

Tariff War: Trade tensions between the US and China are once again at their peak. US President Donald Trump's new tariff announcement has created a stir in global markets. Trump announced a 34% tariff on China, in response to which China also retaliated and increased tariffs on all US goods at the same rate.

China's counter-attack

China announced on Friday that additional tariffs will be imposed on all US goods from April 10. Apart from this, China has decided to start investigating medical CT scan X-ray tubes imported from the US. Also, China has banned the import of poultry products from two US companies. This move is considered to be part of a strategy to put economic pressure on the US.

Ban on 11 US companies

China has added 11 US companies to its list of "unreliable entities". This means that these companies will no longer be able to do business in China nor will they be able to partner with Chinese companies. In addition, China has indicated to increase strictness on the export of some important rare metals such as gadolinium and yttrium. These metals are used in the manufacture of electric vehicles and defense equipment, which may affect American industries.

Tension increased due to Trump's return

The tension in the US and China relations has increased further since Donald Trump became president again. Trump announced a total of 54% tariff on China earlier this week, including already implemented tariffs. This move by the Trump administration has increased the fear of a global trade war.

Even after two months of becoming president, Trump has not yet held any talks with Chinese President Xi Jinping. This situation clearly shows the lack of diplomatic dialogue between the two countries. This can affect not only the US and China but the entire global economy.

Global impact

This growing trade war between the US and China can also affect other countries. Many multinational companies do business in both these countries and their supply chain may be affected by this conflict. Experts believe that if this tension continues to escalate, the possibility of a global economic recession cannot be ruled out.

It remains to be seen how long this new trade conflict between the US and China will last and how it will end. But at the moment, it is clear that this growing tension between the world's two largest economies can push international trade towards a new crisis.