Trump threatens 50% tariffs on China as global markets plunge

US President Donald Trump threatened additional tariffs on China on Monday, raising fresh concerns that his drive to rebalance the global economy could lead to a trade war.

Mr Trump’s threat, which he delivered on social media, came after China said it would retaliate against US tariffs announced last week.

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50%

“If China does not withdraw its 34% increase above their already long term trading abuses by tomorrow, April 8th, 2025, the United States will impose ADDITIONAL Tariffs on China of 50%, effective April 9th,” he wrote on Truth Social.

“Additionally, all talks with China concerning their requested meetings with us will be terminated!”

Mr Trump has remained defiant as the stock market continued plunging and fears of a recession grew.

“Be Strong, Courageous, and Patient, and GREATNESS will be the result!” he wrote.

The Dow Jones Industrial Average dropped 1,200 points as trading began on Monday morning, and the S&P 500 was on track to enter a bear market, which means falling 20% from a recent high.

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Alarm

Even some of Mr Trump’s allies are raising alarms about the economic damage, and financial forecasts suggest more pain on the horizon for US businesses, consumers and investors.

The Republican president has insisted his tariffs are necessary to rebalance global trade and rebuild domestic manufacturing.

He accused other countries of “taking advantage of the Good OL’ USA!” on international trade and said “our past ‘leaders’ are to blame for allowing this”.

He singled out China as “the biggest abuser of them all” and criticised Beijing for increasing its own tariffs in retaliation.