China Strikes Back: Tariffs Surge to 125% in Response to Trump's Escalation

Beijing's dramatic retaliation sets off economic alarm bells and deepens diplomatic crisis.

WASHINGTON — April 11, 2025 - The U.S.–China trade war has escalated to unprecedented levels, with each nation lobbing ever-higher tariffs and countermeasures in a high-stakes economic standoff. In the latest developments, China announced it would raise tariffs on all U.S. goods to 125% – up from an already punishing 84% – to mirror the U.S.’s own massive tariff hike (The Guardian). CNN’s live coverage on April 11 chronicled how this tit-for-tat escalation rattled global markets: European and Asian stocks slid as Beijing’s move matched Washington’s steep 125% “reciprocal” tariff that took effect a day earlier. The White House even revealed that when adding a new 20% border tax on fentanyl-related trade, U.S. duties on Chinese imports total about 145%.

Both sides are digging in. President Trump – re-elected on a hardline trade platform – has touted these tariffs as a long-overdue leveling of the playing field, declaring April 3 “Tariff Liberation Day” as he targeted not just China but a…