A sudden escalation occurred today (4.4.25) in the World Tariff War due to the 34% duty announcement by China at the expense of imports from the USA.
This means doubling duties, as before this week’s announcement, the tariff imbalance between the US and China was intense: US tariffs on Chinese products exceeded the duties that China charged to the US.
China’s average duty on US goods was 17.8%, smaller than 32.8% charged by the US to Chinese goods, according to Bloomberg Economics analysis.
Last year, China has introduced nearly $ 164 billion to goods from the US, the lowest amount of the last four years.
Total US trade in China is estimated at $ 582.4 billion in 2024.
Imports of US goods from China (which imposed 34% of Trump from April 2, 2025) in 2024, amounted to $ 438.9 billion, increased by $ 2.8% ($ 12.1 billion) by 2023.
The deficit of the US trade balance with China was $ 295.4 billion in 2024, up 5.8% ($ 16.3 billion) compared to 2023.
The T – 5 of US exports to China (2024) is as follows:
- Electric, electronic equipment: $ 15.28 billion
- Fossil fuels, oils, distillation products $ 14.73 billion
- Oil Seeds, Olive Fruit, Graders, Seeds, Fruits: $ 13.35 billion
- Machinery, Nuclear Reactors, Boilers: $ 12.86 billion
- Aircraft, spaceships: $ 11.54 billion
The Top – 5 of Chinese exports to US (2023) is as follows:
- Electric, electronic equipment of $ 124.52 billion
- Machines, nuclear reactors, boilers of $ 88.98 billion
- Furniture, lighting signs, prefabricated buildings: $ 30.66 billion
- Games, games, sportswear: $ 29.36 billion
- Plastic: $ 23.25 billion
Beijing said it would limit exports of seven rare land
China has repeatedly tried to use its sovereignty in the supply chain of secondary metals and rare earths to counterattack on the US punitive duties, including restrictions.
These specialized materials are usually vital for specific technological processes or alloys and are difficult to replace.
Today, Beijing said it will limit exports of seven rare land:
- the samarium, used in Optic lasers and powerful magnets
- Gadolinio, used as contrasting for magnetic resonance imaging
- Terbio, used to imaging devices
- the inaccessible, used in Magnets for wind turbines and electric vehicles
- the Loutteti, used in oil refineries
- the scandal, used in aerospace
- the seedused in radar technology
China said the restrictions would come into force immediately. “The relevant species have dual -use characteristics and is an internationally accepted practice to impose controls on their exports,” the Chinese Ministry of Commerce said in a statement.
The economic conflict between the two governments has expanded to private companies in both countries. Chinese officials have reacted to Walmart’s efforts to push Chinese suppliers to reduce prices to offset Trump’s duties.
Hong Kong Li Ka-Shing’s tycoon caused Beijing’s rage when he agreed to sell his company’s ports to Panama, a move that was criticized as an attempt to calm Trump.
Forecasts to reduce Chinese development
Economists expect Trump’s duties reduce China’s annual economic growth by about two percentage points.
However, Chinese shares only fell a slight decline on Thursday, April 3, 2025 before the holidays, with investors betting that Si would launch quite monetary and budgetary incentives to ensure that it will achieve the ambitious goal of developing 5%.