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President Trump ramped up the trade war with China on April 9, 2025, by raising tariffs on Chinese imports to a total of 104%. The hike is an additional 50% tariff on top of existing tariffs, a dramatic ramp-up of the trade war between the two economic giants. This comes after China's announcement of imposing retaliatory tariffs on US goods, leading the Trump administration to raise levies again.
The news of the higher tariffs has brought phenomenal upheaval to international stock markets, and the key indexes have imploded. The S&P 500, for instance, has suffered monumental losses since the announcement of the tariffs. looming over the threat of an imminent-to-be bear market. Investors are more and more increasingly worried about the economic implications of the rabid trade war.
China retaliated with bluster against U.S. tariffs, promising to return fire and alleging that the U.S. is blackmailing them. The new tariffs will most likely fuel further the trade war, increase consumers' costs, interfere with supply chains, and make international trade more difficult. Trump has also accused China of manipulating currency, adding to the already fraught trade talks
