China Warns Trump on Tariffs, Threatens Retaliation on Supply Chain Deals
CHINA, JUL 8 – China warned the U.S. against reinstating tariffs and threatened retaliation towards countries excluding it from supply chains, with U.S. tariffs on Chinese goods averaging 51.1%, the Peterson Institute said.
- On Tuesday, President Donald Trump began notifying Asian countries through form letters that higher U.S. tariffs ranging from 25% to 40% would take effect on August 1, 2025.
- This action follows a fragile trade framework agreed by Washington and Beijing in June, with China given until August 12 to reach a deal preventing further tariff reinstatements.
- China’s official newspaper, People’s Daily, criticized the tariffs as "bullying" and warned it would respond resolutely against any deals sacrificing Chinese interests or cutting China out of supply chains.
- Trump’s tariffs threaten countries like South Korea, Japan, Thailand, and Malaysia with levies from 25% to 40%, while Apple faces pressure to shift manufacturing to the U.S. and diversify supply chains amid these escalating trade tensions.
- The tariff notifications and Chinese warnings set the stage for a possible renewed trade war if no agreement is reached by August 12, potentially disrupting global supply chains and economic relations.
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China Warns Trump on Tariffs, Threatens Supply Chain Retaliation
China warns US of retaliation if tariffs return, as Trump targets 14 nations with new duties: ‘Will respond resolutely’
China has warned the Trump administration against reviving trade tensions by reinstating tariffs on Chinese goods in August. In a People’s Daily commentary, Beijing urged dialogue over confrontation and criticized the looming “final deadline” for a trade deal.
China Says It Will Retaliate on Unfavorable Trade Deals
“Chinese state media warned the Trump administration Tuesday against striking deals that sideline China, after the president announced that Asian countries would face higher tariffs starting Aug. 1, unless other arrangements are agreed on before then,” NBC News reports. From the People’s Daily: “If such situations arise, China will not accept them and will resolutely take countermeasures to safeguard its legitimate rights and interests.”
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