China has taken strong steps in its ongoing trade conflict with the United States. On April 10, 2025, the Chinese government will introduce new tariffs and export restrictions targeting American goods and companies. These decisions are expected to impact global trade, especially in technology and rare earth materials.
China to Charge 34% Tariffs on All U.S. Goods
Higher Taxes on U.S. Imports
China has announced that it will apply a 34% tariff on all goods coming from the United States. This means that American products entering China will become more expensive, possibly reducing their demand in Chinese markets.
Extra Duties to Begin from April 10
These new taxes will take effect from April 10, 2025, and are part of China’s broader response to U.S. trade policies. The move is expected to affect industries such as agriculture, technology, and manufacturing.
Export Bans on Rare Earth Materials
What Are Rare Earth Elements?
Rare earth elements are used in high-tech products like smartphones, electric vehicles, wind turbines, and military equipment. These materials are essential for modern industries.
China Tightens Control Over Key Elements
China has announced export controls on several rare earth elements, including:
Samarium
Gadolinium
Terbium
Dysprosium
Lutetium
Scandium
Yttrium
These restrictions could create challenges for global manufacturers that rely on Chinese supplies of these materials.
U.S. Companies Face Blacklist and Export Ban
16 American Companies Lose Export Rights
China’s Commerce Ministry has suspended the export qualifications of 16 U.S. companies. This means these companies can no longer import goods from China or do business with Chinese suppliers.
11 Companies Added to ‘Unreliable Entity List’
In addition, 11 more U.S. entities have been placed on China’s “unreliable entity” list. This label is given to companies that are seen as threatening China’s national interests or breaking business rules.
China Explains Reason for Export Controls
China’s Commerce Ministry said that the government has put export controls in place to better protect the country’s security and interests. It also aims to meet international rules, like those that prevent the spread of dangerous weapons.
What This Means for the Global Market
These steps by China could lead to more trade disruptions between the two biggest economies in the world. Companies that rely on smooth trade between the U.S. and China may face higher costs and supply chain delays.
Conclusion
China’s latest actions—including high tariffs, rare earth export controls, and blacklisting of U.S. companies—mark a serious escalation in the ongoing trade dispute. These decisions may not only affect U.S.-China relations but also have wider effects on the global economy.
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