The US-China trade war started when Trump launched new tariffs of up to 145% on Chinese imports. Not only that, but the Trump administration has launched new tariffs on the European Union, Japan, Vietnam, South Korea, Taiwan, India, China, and many other countries.
Trump tariffs are charging a 10% tax on everything imported from other countries. According to President Donald Trump, new tariffs will boost the US economy and manufacturing.
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| US-China Trade War |
US-China Trade War:
The United States and China have been facing economic conflict since 2018.
Trump said that many countries have treated the United States unsustainably badly. While the US has been dumb and helpless. But not anymore.
In other words, Trump’s new tariffs are a way to penalize countries that have been using the United States market for their businesses and economy.
Trump also said that new tariffs will increase manufacturing within the United States and decrease dependency on foreign nations.
10% is the base tariff rate on foreign countries’ products. Additionally, a 34% tariff was imposed on Chinese businesses.
Here are the latest events of the US-China trade war.
2025:
April 25, 2025:
- The People's Bank of China will release 600 billion yuan ($82.3 billion) lending facility to maintain liquidity.
- Amid US-China trade talks, Indian Rupee stays stronger at 85.19/dollar.
April 24, 2025:
- US states filed lawsuit against Trump administration to stop ‘insane’ tariffs.
- Arizona, Connecticut, Illinois, Minnesota, New Mexico, Vermont, Oregon, Colorado, Delaware, Maine, Nevada, and New York sued Trump administration.
- White House may reduce tariffs on Chinese products by 50%.
April 23, 2025:
- Trump said that tariffs on China will ‘come down substantially.’ Is it a U-turn?
- Bessent said that there is a big opportunity for US-China trade deal.
- 86% of German firms in China are affected by new tariffs.
April 21, 2025:
- Chinese government warned other countries from allying with the United States to restrict trade with China.
April 17, 2025:
- The Donald Trump administration increased the tariffs on China up to 245%.
April 11, 2025:
- China increased tariffs on American imports up to 125%.
- The United States announced reciprocal tariffs on China.
- Chinese businesses suspended the export of magnets and minerals. It will impact the United States semiconductor, auto, aerospace, and defence industries. Further, China is also developing a new system to prevent American companies from accessing Chinese resources.
April 9, 2025:
- The Chinese government announced 84% tariffs on American imports.
- The US administration announced a 125% tax on Chinese imports.
- By the end of the day, the US increased tariffs to 145%.
April 7, 2025:
- Trump hinted that he could increase tariffs on Chinese imports if China does not drop the increased tariffs on American imports.
April 4, 2025:
- China responded with a 34% tariff on American imports.
- The Chinese administration also hinted that it could increase tariffs up to 54% by 9th April.
April 2, 2025:
- Trump increased tariffs on Chinese goods up to 34%.
- Later the Trump administration announced that it could increase tariffs up to 54%.
March 4, 2025:
- China increases tariffs up to 15% on American imports such as cotton, chicken, corn, and wheat.
- The Chinese government also imposed a 10% tax on vegetables, dairy products, beef, pork, soybeans, fruits, and sorghum.
- The White House threatened China with 54% tariffs on all Chinese imports.
March 3, 2025:
- Donald Trump imposed a 20% tax on all Chinese goods.
- Trump also increased 25% tariffs on Canada and Mexico.
February 4, 2025:
- China retaliated with a 15% tariff on American imports like natural gas and coal products.
- The Chinese government also retaliated with a 10% tariff on cars, agricultural machinery, and crude oil.
February 1, 2025:
- President Donald Trump increased tariffs on all Chinese imports by 10%.
2024:
December 2024:
- China launched an investigation against NVIDIA.
- China restricted supplies of drone components to the US.
September 2024:
- The Biden administration increased tariffs on Chinese exports. 25% on batteries, aluminum, steel, and minerals.
- 50% on solar cells.
- 100% on EV vehicles.
May 2024:
- Biden increased tariffs on solar cells and lithium-ion batteries.
- Increased tariffs on medical equipment, steel, and aluminum.
2022:
- The WTO rules that US President Donald Trump breached global trade rules in 2018.
- China also launched policies to increase the use of domestic products.
2023:
- The European Union joined America to block the sale of technology to China.
- US Secretary of State Antony Blinken visited China and clarified that the US does not want to contain China.
- The US Treasury Secretary, Janet Yellen, criticized Chinese restrictions.
2021:
- Trump banned the import of Chinese cotton and tomatoes.
- China imposed sanctions on the United States.
2020:
January 15, 2020:
Donald Trump and Liu He signed the US–China Phase One trade deal.
February 18, 2020:
China removed tariffs on 696 American goods.
May 12, 2020:
China dropped tariffs on 79 US goods.
September 26, 2020:
The United States imposed sanctions on Chinese Semiconductor Manufacturing International Corporation (SMIC).
2019:
May 5, 2019:
The Trump administration imposed a 25% tariff on Chinese imports.
May 15, 2019:
Trump banned Huawei from buying vital parts from US companies.
June 1, 2019:
China imposed a $60 billion tariff on US goods.
August 23, 2019:
China imposed $75 billion in tariffs on US goods.
September 13, 2019:
China dropped tariffs on soybeans.
2018:
January 22, 2018:
Trump increased tariffs on Chinese washing machines and solar panels up to 50%.
March 1, 2018:
The United States announced a 10% tariff on aluminum and 25% on steel imports.
April 2, 2018:
America imposed tariffs on 128 Chinese imports.
April 9, 2018:
China suspended soybean exports to the United States.
May 20, 2018:
China agreed to substantially reduce tariffs.
May 29, 2018:
The US announced a 25% tariff on Chinese goods.
June 19, 2018:
China threatened the US with a $50 billion tariff on US imports.
July 6, 2018:
The United States administration imposed $34 billion in tariffs on Chinese imports.
September 17, 2018:
The United States adds a 10% tariff on Chinese products. China also imposed a 10% tariff on US imports.
Effects of the US-China Trade War
The United Nations report 2019 stated that the US-China trade war is hurting the economies of both countries. Due to this trade war, the cost of manufacturing for both farmers and consumers has increased in the United States.
China is also impacted by this trade war. It has slowed down the economic growth of China.
In 2019 alone, the US imposed $350 billion in tariffs on China, and China imposed $100 billion in tariffs on US products.
Conclusion:
US-China trade was the result of long-lasting conflict between both countries. While it all started in 2019, China and the US have never faced this level of trade war before. Both countries are imposing tariffs to retaliate.
This trade war is still going on and impacting other countries that are trading with the United States and China.
Stay tuned with us to know every event of the China and United States trade war.
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