China Hits Back With 34% Tariff on US Goods After Trump’s Trade Salvo

China has announced a new 34% tariff on all US goods, effective April 10, in direct response to President Donald Trump's latest round of trade tariffs. China's Finance Ministry announced on Friday that the ongoing trade standoff between the world's two largest economies has escalated significantly.

In a related move, China will begin export controls on several key medium and heavy rare-earth elements, including samarium, gadolinium, terbium, dysprosium, lutetium, scandium, and yttrium, on April 4. These rare earths are critical for high-tech manufacturing and defense applications.

"The purpose of the Chinese government's implementation of export controls on relevant items in accordance with the law is to better safeguard national security and interests, and to fulfil international obligations such as non-proliferation," China’s Commerce Ministry said in a statement.

Beijing also added 11 foreign entities to its "unreliable entity" list, allowing for punitive measures against them. The move demonstrates China's willingness to use rules and economic measures to counter US pressure.

China's State Council Tariff Commission also clarified that the new tariffs will not apply to shipments already in transit.

"If the goods have been shipped from the place of departure before 12:01 on April 10, 2025, and are imported between 12:01 on April 10, 2025, and 24:00 on May 13, 2025, the additional tariffs prescribed in this announcement will not be levied," according to the statement.