China has criticised the decision by the United States President, Donald Trump, to impose 100 per cent tariffs on all Chinese goods, describing the move as “hypocritical” and harmful to global trade stability.
In a statement quoted by Reuters, China’s Ministry of Commerce said the decision undermined ongoing trade negotiations and further damaged the environment for economic cooperation between the world’s two largest economies.
“The U.S. actions have severely harmed China’s interests and undermined the atmosphere of bilateral economic and trade talks, and China is resolutely opposed to them,” the ministry said.
The new tariff measures, announced by President Trump on Friday, will apply to all Chinese exports to the United States and are scheduled to take effect from November 1. In addition to the tariffs, Washington also introduced new export restrictions targeting critical software, a move aimed at tightening control over technologies linked to artificial intelligence, defence, and advanced manufacturing.
The White House said the new tariffs were a direct response to China’s recent restrictions on the export of rare earth materials—essential raw materials used in electric vehicles, military technologies, and high-end electronics. U.S. officials accused Beijing of using its control over rare earth supplies as leverage in global trade disputes.
China, however, defended its export curbs, insisting that they were implemented for national security reasons and were not intended to disrupt legitimate international trade. “Applications for civilian use that comply with regulations will be approved,” the Chinese Ministry of Commerce said, adding that the measures were necessary to ensure responsible management of strategic resources.
While Beijing expressed strong opposition to Washington’s new tariffs, it has not yet announced any retaliatory measures. Analysts told Reuters that China’s measured response may indicate a willingness to leave room for dialogue and avoid further escalation. Some observers believe that Beijing is weighing its options carefully to prevent worsening economic conditions, as both countries continue to face domestic and global economic challenges.
The renewed trade tensions have already sent shockwaves through global markets. Technology stocks in particular have come under pressure amid growing fears that the dispute could disrupt supply chains and increase costs for manufacturers around the world. Investors have also expressed concern that the conflict may spill over into other sectors, including semiconductors, automotive, and renewable energy.
Economists warn that the latest tariff battle could have far-reaching consequences for global growth, given the central roles of both the U.S. and China in international trade. The two countries account for roughly 40 per cent of global GDP and a significant share of global exports. Prolonged tension between them, analysts say, could lead to higher inflation, reduced consumer demand, and increased uncertainty for multinational corporations.
Trade experts note that the decision marks one of the most aggressive tariff actions taken by Washington in recent years, reviving fears of a return to the kind of trade war seen between 2018 and 2019. During that period, billions of dollars in goods were affected by reciprocal tariffs, disrupting global markets and pushing several countries to re-evaluate their trade alliances.
So far, there are no indications that the U.S. and China plan to resume high-level trade talks in the near term. Both sides appear to be focusing on domestic economic priorities, with the U.S. seeking to strengthen its technology base and reduce dependency on Chinese supply chains, while China continues to expand its self-reliance strategy in critical industries.
Global observers believe that the escalating dispute could force other countries, including those in Africa and Europe, to take a more cautious approach in their trade relationships with both superpowers. A prolonged tariff war could also redirect supply chains to other emerging markets, creating new opportunities but also raising competition.
The current developments signal that the long-running U.S.-China trade rivalry is far from over. Analysts suggest that while both sides may eventually return to the negotiation table, trust between them has weakened considerably. For now, markets and businesses across the world are watching closely to see whether diplomacy or confrontation will define the next phase of global trade relations.
