China faces fresh tariff pressure from the United States, with rates climbing as high as 245%. The announcement followed President Donald Trump’s signing of an executive order on Tuesday. This order authorises a national security probe into America’s dependence on imported critical minerals.
The investigation, launched under Section 232 of the Trade Expansion Act of 1962, tasks the Secretary of Commerce with reviewing the security risks linked to mineral imports. Trump previously invoked the same law to examine steel, aluminium, copper, and lumber imports during his first term.
Although the order doesn’t name China directly, the country remains the top producer of 30 out of 50 minerals deemed essential by the U.S. Geological Survey.
Rare Earth Export Curbs and Rising U.S. Tariffs
Tensions have surged since April 4, when China’s Ministry of Commerce hit back at U.S. tariffs by restricting the export of seven rare earth elements (REEs). These minerals are vital to American defence, automotive, and energy sectors.
The latest tariffs pile onto earlier penalties. On April 12, the U.S. set a 245% tariff on Chinese syringes and needles. This included levies from three categories: the ‘Pre-2025 tariffs’ at 100%, ‘Fentanyl-related products’ at 20%, and a ‘Reciprocal’ tariff of 125%. Other products were also targeted. Lithium-ion batteries now face tariffs of up to 175%, squid 170%, and wool sweaters 169%.
Trade Talks Stall as Both Sides Trade Barbs
At a White House briefing on Tuesday, Press Secretary Karoline Leavitt reinforced Trump’s tough stance. She quoted the president, saying:
“The ball is in China’s court.”
Leavitt stressed that China must act first if it hopes to resume negotiations. “China needs to make a deal with us; we don’t have to make a deal with them,” she added.
China’s Foreign Ministry fired back, calling the U.S. approach unhelpful. Spokesperson Lin Jian warned that pressure tactics undermine dialogue. “If the United States truly wants dialogue, it must first stop exerting maximum pressure,” Lin stated.
The rift deepened after news broke that Washington plans a sharp increase in its 2026 defence budget. China’s Defence Ministry responded, criticising the U.S. military spending as aggressive and excessive. Defence spokesperson Zhang Xiaogang said:
“The sky-high defence budget exposes the U.S. belief in ‘might makes right.’ Wanton use of force will not make America great again.”
Sharp Tariff Swings and a Narrow Window for Diplomacy
Trump has escalated the tariff war, raising duties on a wide range of Chinese imports to as much as 145%. In retaliation, Beijing imposed tariffs of up to 125% on American goods.
While the standoff shows no signs of easing, the U.S. has offered temporary relief to select nations. Trump approved a 90-day pause on tariff hikes for 75 countries, including India, as they negotiate trade agreements with Washington.
Trump underlined his position in an April 9 post on Truth Social, writing:
“At some point, China will realise that the days of ripping off the U.S. and other countries are over.”
As both sides dig in, the global economy braces for more turbulence.
