tariffs on US goods to 125%, up from 84%, following a fresh wave of tariff hikes from US President Donald Trump. This tit-for-tat move intensifies tensions between the world’s two largest economies and poses a growing threat to global supply chains.

Trump’s latest policy, unveiled Wednesday, imposes a 90-day pause on his sweeping tariff plan, offering a 10% baseline duty for all nations except China. In a deliberate escalation, Chinese imports alone are subject to much higher levies—up to 145% from the US side, prompting an aggressive countermeasure from Beijing.

China’s Finance Ministry condemned the move, calling it "unilateral bullying and coercion," and accused the United States of violating international trade rules and basic economic principles.

“The US imposition of abnormally high tariffs on China seriously violates international and economic trade rules, basic economic laws and common sense,” the ministry stated.

The fallout from the US-China tariff standoff has already begun to ripple across markets, with trillions of dollars in value wiped out amid investor fears of a potential recession. However, after Trump’s pause announcement, stock markets across Asia and Wall Street experienced a sharp rebound—though the exclusion of China from the tariff relief continues to raise concern.

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