Trade war: China claps back at Trump with 34% tariffs, sanctions on U.S. companies

The China government has on Friday April 4, 2025, announced a 34% tariff on all U.S. goods, effective April 10, in retaliation to Trump’s tariffs.

Beijing said the new tariffs match Trump’s 34% levy on Chinese exports announced earlier this week.

Media report says the Chinese Commerce Ministry also announced new export controls on rare earth materials used in advanced technologies.

The ministry listed samarium and gadolinium among the restricted elements, citing their use in defense and medical sectors.

China’s Customs Administration suspended chicken imports from U.S. firms after detecting banned drug furazolidone in shipments.

Beijing added 27 American companies to its trade sanctions and export control lists on Friday.

Sixteen of those firms face a ban on exporting dual-use goods to Chinese entities.

High Point Aerotechnologies and Universal Logistics Holding are among the affected companies.

China said it has filed a lawsuit against the U.S. at the World Trade Organization.

Beijing accused the U.S. of violating WTO rules and undermining the global trading system.

China described the tariffs as unilateral bullying and pledged to resist strongly.

China also launched a monopoly investigation against DuPont China Group Co.

Authorities initiated an anti-dumping probe on U.S. and Indian X-ray and CT scanner components.

Earlier in February, China imposed a 15% tariff on U.S. coal and liquefied natural gas.

It also placed a 10% tariff on crude oil, agricultural machines, and China says it will redirect exports to other markets if blocked by the U.S.

Analysts warned the new rare earth export rules may hurt global industries.

Experts remember China’s 2010 rare earth embargo on Japan during a dispute.

Though U.S. mining resumed later, most rare earths still go to China for processing.

China’s response signals a tough new phase in the U.S.–China trade war.

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