China has warned that it will “fight to the end” if President Donald Trump goes ahead with a new 50% tariff on Chinese goods. This move could bring the total tariffs on Chinese imports to the United States up to 104%. The warning came as Trump continues to take a tough stance on trade and other countries rush to make new deals with the U.S.
Trump’s New Threat and China’s Firm Response
The Chinese Ministry of Commerce said it “firmly opposes” the U.S. decision and believes its own earlier countermeasures were “entirely justified.” In a statement on Tuesday, the ministry said, “If the U.S. insists in its own way, China will fight to the end,” calling Trump’s threat a “mistake upon a mistake.”
This new 50% tariff would take effect Wednesday if China does not remove the 34% retaliatory tariffs it placed on all U.S. goods. These Chinese tariffs were a direct response to Trump’s earlier announcement of higher tariffs on Chinese products last week.
Trump posted on Truth Social that “all talks with China concerning their requested meetings with us will be terminated!” He added that negotiations with other countries would begin immediately instead.
China’s View: Dialogue Over Pressure
The Chinese Commerce Ministry has asked the U.S. to cancel “all unilateral tariff measures” and settle trade differences through peaceful discussion. “Pressure and threats are not the correct way to deal with China,” it stated.
China also repeated that “there are no winners in a trade war,” and said that “protectionism leads nowhere.” It warned that China would “resolutely take countermeasures to safeguard its own interests.”
Markets React to Rising Trade War Fears
Despite the tensions, stock markets in China showed signs of recovery on Tuesday. Beijing worked quickly to stabilize investor confidence. State-backed funds promised to support the market by buying local stocks.
The Hang Seng Index in Hong Kong rose about 1.58% by midday Tuesday, bouncing back after its worst single-day drop in nearly 30 years. China’s CSI 300 Index, which tracks large companies, climbed 0.9% after falling 7% the day before.
Expert: “China Can’t Back Down Anymore”
Economist Andy Xie, based in Shanghai, believes that China will match Trump’s 50% tariffs if they go ahead. “If Trump wants to take you to hell, you take him with you,” Xie said.
He believes China has decided that compromising will only lead to more demands from Trump. “China cannot back down anymore,” he explained.
Xie also noted that Trump’s new tariffs may not have a major effect because Chinese goods have already been heavily taxed—over 70% in some cases—since Trump’s earlier presidency.
China’s Shift Away from U.S. Trade
China has been reducing its trade dependence on the U.S. In 2024, only 14.7% of its exports went to the United States, compared to 19.2% in 2018 when the trade war began. This information was shared by China’s official newspaper, People’s Daily.
According to Xie, “China and the United States will decouple. It’s a matter of time. You have to bite the bullet.”
TikTok Deal and Tariff Politics
President Trump also linked the trade conflict to the ongoing dispute over TikTok’s U.S. operations. On Sunday, he said that China might accept a deal to sell TikTok if the U.S. offered a cut in tariffs. He claimed the two countries were “pretty close” to a deal, but China pulled back because of the new 34% tariff.
“If I gave a little cut in tariffs, they’d approve that deal in 15 minutes, which shows you the power of tariffs,” Trump said while flying on Air Force One.
However, on Monday, Trump seemed to change his mind, stating that he is not planning to delay the tariffs—even as stock markets fall and fears grow about the global economy.
The Information is Collected from NBC News and BBC.
