US-China Trade Negotiatons on Verge of Collapse as Trump Threatens More Tariffs

Trade negotiations between the US and China are teetering as President Donald Trump recently threatened China with expanding tariffs lest the latter rescind its plans to increase their own tariffs on US goods.

President Trump levied a baseline 10% tariff on all imports entering the US with additional tariffs for countries that the White House assessed are trading unfairly with the US. 

China was hit with a 34% tariff after the Trump administration calculated China charges U.S. imports 67% tariffs.

Shortly afterward, China responded by increasing its own tariffs on US goods by 34%. 

Trump derided the tariffs, which he claimed are just one of the tools China uses to surreptitiously and unfairly deflate their goods’ prices in order to outcompete other countries. 

Additionally, Trump warned China he would increase the US’ tariffs on their exports if the 34% retaliation was not discontinued.

“If China does not withdraw its 34% increase above their already long term trading abuses by tomorrow, April 8th, 2025, the United States will impose ADDITIONAL Tariffs on China of 50%, effective April 9th,” stated Trump. 

The US and China’s combined trade is worth nearly $600 billion. 

However, while the US imports $438.9 billion in exports from China, the latter only imports $143.5 billion in US exports. 

Trump further threatened to cease all trade negotiations between the US and China if the latter did not drop the retaliatory tariffs. 

“All talks with China concerning their requested meetings with us will be terminated,” continued Trump, adding that “negotiations with other countries, which have also requested meetings, will begin taking place immediately.”

Countries have quickly sought to negotiate reducing or eliminating the tariffs they have been subjected to. 

Many, such as India, Israel, and Taiwan, have opted for a conciliatory approach, reducing their own barriers to US goods and pledging to foster increased trade with the US. 

Others, such as the European Union and China, have conversely opted to retaliate against Trump’s tariffs by increasing their own tariffs.