Atlanta, G.A 4/4/25 — China retaliated against former President Donald Trump’s April 2 tariffs with a 34% tariff on all U.S. goods starting April 10, export restrictions on rare earths, and sanctions on 30 U.S. firms, escalating global trade tensions, China’s Commerce Ministry said April 4. The move follows Trump’s 10% universal tariff, with 34% on China, 20% on the EU, and 25% on South Korea, which he called “reciprocal” for alleged trade abuses.
Experts, citing WTO and PIIE data, say Trump’s rates exaggerate actual tariffs. The EU applies 1%-4.8% on U.S. goods, per Euronews, not 20%. South Korea’s rate is 0.79% under KORUS FTA, per Reuters, not 25%. China’s 22.6% average tariff, per PIIE, is below Trump’s 34% and far from his claimed 67%. Trump’s method, based on trade deficits like the EU’s 198.2 billion euros and China’s $375 billion, ignores real rates, CNN reports.
China called Trump’s tariffs “unilateral bullying,” launching an antidumping probe on U.S. medical CT tubes and closing a low-value package trade loophole. Analysts like William Hurst from Cambridge note China’s exports to the U.S. are less critical as it shifts to Europe and Africa, but global supply chains face risks. The EU is finalizing countermeasures, and the S&P 500 fell 4.8% on April 3, per Reuters. The IMF’s Kristalina Georgieva warned of a “significant risk” to global growth.
Historically, Trump’s claim of decades-long high tariffs is shaky. Pre-2018, China’s average was 8%, and the EU and South Korea held 1%-5% under USMCA and WTO deals, per World Bank data. The global average on U.S. goods is 2.5%. PIIE says Trump’s tariffs aim to cut deficits, not match rates. Experts urge using WTO data to highlight gaps, like South Korea’s 0.79% vs. Trump’s 25%.
Trump’s tariffs seem more protectionist than reciprocal, risking a broader economic crisis as trade tensions rise.
by Avocado Insight Magazine
Researched Sources: China’s Commerce Ministry for retaliatory measures (April 4, 2025); WTO for tariff averages; PIIE for China’s 2025 rates; Euronews and European Commission for EU tariffs; Reuters for South Korea’s rates, market reactions, and China’s response; World Bank for historical data; CNN for Trump’s methodology; USTR for trade barriers; AP News for global reactions (April 3, 2025).
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