New Delhi: The growing trade war between China and the United States shows little signs of easing after massive tit-for-tat tariffs between the world’s two biggest economies this week.
Beijing increased its tariffs on U.S. imports to 125% on Friday, hitting back against President Donald Trump’s decision to raise duties on Chinese goods and increasing the stakes in a trade war that threatens to upend global supply chains.
The retaliation intensified global economic turmoil unleashed by Trump’s tariffs. U.S. stocks ended a volatile week higher, but the safe haven of gold hit a record high during the session and benchmark U.S. 10-year government bond yields posted their biggest weekly increase since 2001 alongside a slump in the dollar, signaling a lack of confidence in America Inc.
On April 9, Trump announces 90-day pause on “reciprocal” tariffs for nations except for China. The 10% universal tariff, however, remains in effect. On Aril 11, China increases its retaliatory tariffs on US imports to 125%. Where this will end is anyone’s guess.