China is not ready to accept US tariffs and strikes back.

US Tariffs fuel trade war with China:

China has promised to fight back completely against Trump’s new 50% tariff threat. The growing conflict between the US and China has already wiped out trillions of global markets. Trump has imposed wide-reaching tariffs. His imposition of new tariffs creates a wave of fear among countries. Despite the crash in stock markets, he shows no signs of stopping. His policies have raised serious concerns about a global recession.

China hits back:

In response to the Tariffs imposed by Trump on Chinese goods, China also imposed 34% tariffs on American goods. China’s retaliation prolongs the trade war between the US and China. Trump, however, warned that if China continues to retaliate, then the US could impose tariffs of over 100% on Chinese products. Trump said, “I respect China, but they can’t do this. We have one shot to fix this. And it’s an honour to do it.”

Also Read: Global Markets Plunge Amid Trump’s Firm Stance On Tariffs

China rejects US pressure:

China quickly fired back. Officials accused the US of “blackmail”. Beijing said it would never give in to pressure and would take all steps needed to protect its interests. A Chinese Commerce Ministry spokesperson said, “If the US keeps going this way, China will fight to the end.” Still, China said it wanted dialogue, not conflict. But it made clear that in a trade war, no one wins.

Trump refuses to pause Tariffs:

On Monday, Trump made it clear that he has no plans to stop the new tariffs. He also canceled any meetings with China for now. However, he said the US is open to talks with other countries, ready to work with them.

China tries to calm its markets:

After bearing a loss in Shanghai’s stock market, China vows to protect its markets. It informed the world that China would support sovereign funds, which are buying exchange-traded funds to overcome the loss.

Japan seeks favor in US trade talks:

As investors looked for any good news, stocks in Tokyo rose on Tuesday. The jump came after US Treasury Secretary Scott Bessent said Japan might get priority in trade talks. He praised Japan for coming forward early and showing a willingness to talk.

New Tariffs affect many countries:

A 10% base tariff on US imports began last Saturday. The US will raise tariffs even higher from Wednesday. The new Tariffs include 34% tariffs on Chinese products and 20% tariffs on European Union goods. More countries are expected to be affected soon. The US says these steps are necessary to fix unfair trade practices. However, many global leaders argue these policies are harming growth and damaging long-term trade relationships.