China Raises Tariffs on U.S. Goods to 125% In Largely Symbolic Move

China further isolates itself…..

“China faces simultaneous crises: a stumbling economy, closing export markets, plunging property prices, failing local governments, accelerating capital flight, and continuing debt defaults. And Xi Jinping’s response has been to double down on policies that caused these problems in the first place.”

“Many export-oriented factories in China will now close. I don’t see how they adjust to the sudden loss of almost all the U.S. market without massive government intervention, which is unlikely.”

“China’s increase in the tariff rate from 84% to 125% looks largely symbolic because the 84% rate and informal actions of the Chinese government were already shutting off the Chinese market to U.S. goods.”(Gordon Chang)

“https://twitter.com/GordonGChang/status/1910646572909572193

China’s increase in the tariff rate from 84% to 125% looks largely symbolic because the 84% rate and informal actions of the Chinese government were already shutting off the Chinese market to U.S. goods. https://t.co/4tW9y1lXGN

— Gordon G. Chang (@GordonGChang) April 11, 2025

CNBC:

• China has retaliated against the U.S. President Donald Trump’s reciprocal tariffs by raising its levies on U.S. goods to 125% from 84%, the finance ministry said.
• Trump administration confirmed to CNBC on Thursday that the U.S. tariff rate on Chinese imports now effectively totals 145%.
• China on Friday retaliated against U.S. President Donald Trump’s reciprocal tariffs by raising its levies on U.S. goods to 125% from 84%, the Chinese finance ministry said.

“Even if the U.S. continues to impose higher tariffs, it will no longer make economic sense and will become a joke in the history of world economy,” the ministry said in a statement, according to a CNBC translation.

“With tariff rates at the current level, there is no longer a market for U.S. goods imported into China,” the statement noted, adding that “if the U.S. government continues to increase tariffs on China, Beijing will ignore.”

The Trump administration confirmed to CNBC on Thursday that the U.S. tariff rate on Chinese imports now effectively totals 145%. Trump’s latest executive order boosted reciprocal tariffs on Beijing to 125%, stacked on top of a combined 20% fentanyl-related tariff imposed in February and March.

There’s billions of market cap right now listed on NASDAQ and NYSE of Chinese companies that I have to compete with. I have to pay for the compliance costs, I have to be transparent, I have to abide by the law, and they don’t. They raise money with the same bankers I use and I… pic.twitter.com/7ya3iVPYet

— Kevin O’Leary aka Mr. Wonderful (@kevinolearytv) April 10, 2025

It’s time….