China now faces up to a 245% tariff on imports to the United States as a result of its retaliatory actions, the White House said in a statement on Tuesday (15).
The announcement came as President Donald Trump signed an executive order launching an investigation into the national security risks associated with US reliance on imported critical minerals.
The order directs the Secretary of Commerce to initiate a Section 232 investigation under the Trade Expansion Act of 1962 to evaluate the impact of imports of these materials on America’s security. This Act was previously used by the Trump administration to scrutinise imports of copper, lumber, steel, and aluminium.
While China was not specifically mentioned in the investigation, the country stands as the largest producer of 30 of the 50 minerals considered critical by the US Geological Survey.
On 4 April, in response to Trump’s tariff hikes on Chinese goods, China’s Ministry of Commerce imposed export restrictions on seven rare earth elements (REEs) and magnets critical to the defence, energy, and automotive industries.
China was already facing up to a 245% tariff on syringes and needles exported to the US, based on the order passed by the Trump administration on 12 April. This category fell under the ‘Pre-2025 tariffs’ (100% levy), ‘Fentanyl’ (20%) and ‘reciprocal’ (125%) tariff categories.
Lithium-ion batteries followed, facing up to 175% tariff, squid 170%, wool sweaters 169%, and so on.
During a press briefing on Tuesday, White House Press Secretary Karoline Leavitt quoted the US president as saying that “the ball is in China’s court” on resuming trade dialogue.
“China needs to make a deal with us, we don’t have to make a deal with them,” Leavitt.
Responding to the remark, China’s Foreign Ministry Spokesperson Lin Jian on Wednesday (16) criticised the US’s approach as counterproductive. “If the United States truly wants dialogue, it must first stop exerting maximum pressure,” Lin said, adding that constructive talks require mutual respect and equality.
Meanwhile, China’s Defence Ministry issued its own rebuke after reports that the US will significantly raise its defence spending in 2026, according to a report by Reuters. Defence spokesperson Zhang Xiaogang labelled Washington’s rising military budget a sign of its “bellicose nature” and criticised the reliance on hard power.
“The sky-high defence budget exposes the US belief in ‘might makes right’,” Zhang said. “Wanton use of force will not make America great again.”
Trade hostilities have also escalated sharply in recent days. Trump announced a new wave of tariff hikes- raising duties on Chinese goods to as much as 145%. In retaliation, Beijing slapped tariffs of up to 125% on US imports.
Trump has allowed a 90-day pause in higher tariffs for 75 countries currently negotiating trade deals with Washington, including India, in a bid to ease tensions with select partners. “At some point, China will realise that the days of ripping off the US and other countries are over,” Trump wrote on social media platform Truth Social on 9 April.
(Business Standard)