The Chinese Ministry of Finance has announced additional tariffs of 84% for all goods imported from the US, raising the previous tax rate of 34%, according to BBC news. The announcement comes as Beijing had promised to retaliate strongly after the US increased tariffs on imports from China to 104%, as reported by news.ro.
The Chinese ministry stated that these new tariffs on American goods will go into effect on Thursday, April 10 at 12:01 local time.
In addition, the Ministry of Commerce in Beijing has declared that it has added 12 American entities to the export control list and 6 American entities to the “unreliable entities” list, as reported by Reuters.
The companies added to the export control list include American Photonics and Novotech. Exports of dual-use products to these companies will be prohibited. Those added to the unreliable entities list, including Shield AI and Sierra Nevada Corporation, will be prohibited from engaging in import and export activities related to China and from investing in China.
European markets – which were already declining – further decreased after China’s announcement of 84% tariffs on imports from the US.
The FTSE 100 index of the largest companies listed in the United Kingdom fell by 3.3%, while the German Dax index fell by 4% and the French Cac 40 index fell by 4%.
Meanwhile, the Brent crude futures price fell to $58.47. This is the first time a barrel has cost less than $60 since February 2021, according to The Guardian.
In a first reaction from Washington, US Treasury Secretary Scott Bessent said Wednesday morning on Fox News that China’s 84% retaliatory tariffs are “regrettable.” He also said that Vietnam will be coming to Washington on Wednesday to discuss the tariffs.
Shortly after, Donald Trump reacted as he usually does on his social media platform, without specifically mentioning China. “This is a great time to move your COMPANY to the United States, like Apple and many others, in record numbers. ZERO TARIFFS and almost immediate connections and approvals for electricity/energy. No delays related to the environment. DON’T WAIT, DO IT NOW!”, urged Donald Trump in his post on Truth Social.