Update

China responds with 84% tariffs on US products, escalating the trade war.

April 9, 2025

Published by: Zorrox Update Team

In a major escalation of the ongoing trade conflict, China announced on April 9, 2025, that it will impose an 84% tariff on imports from the United States, effective April 10. This measure is a direct response to the recent U.S. decision to impose a 104% tariff on Chinese products.

Immediate Market Reactions

The announcement sent shockwaves through global financial markets. European indices suffered sharp losses: Germany’s DAX and France’s CAC 40 both fell more than 3%. In Asia, Japan’s Nikkei dropped nearly 4%. Oil prices were also hit, with Brent crude falling below $60 per barrel for the first time since February 2021.

Statements from Chinese Officials

China’s Ministry of Finance justified the tariffs as a necessary countermeasure to what it described as “one mistake after another” by the United States, referring to the recent American tariff hikes. The ministry emphasized that the U.S.’s actions seriously violate China’s legitimate rights and interests and undermine the rules-based multilateral trading system.

U.S. Response and Ongoing Tensions

In response, President Donald Trump said that China is interested in reaching a deal but "doesn’t know how to start the negotiations." He added, “We’re waiting for their call.” While signaling openness to dialogue, the U.S. administration maintains a firm stance, with the White House confirming that all decisions will continue to prioritize American interests.

Global Economic Implications

The Bank of England has warned that rising tariffs increase global financial risks, potentially fueling inflation, slowing global growth, and heightening financial instability. Bond yields have surged, particularly on U.S. and U.K. government debt, raising borrowing costs. Pharmaceutical and technology stocks have been especially impacted due to fears of additional tariffs. Other countries—including the European Union and South Korea—are preparing retaliatory measures.

The Zorrox project, born from a deep thought process, is here to drive change, identify what's missing in the world of trading, and bring trading into a new technological era

Risk Warning:

Trading online involves significant risks and may not be suitable for all investors. The content on this website does not constitute investment advice. Before deciding to trade on our platform, you should thoroughly evaluate your objectives, financial situation, needs, and level of experience, and consider seeking independent professional advice. Trading may result in the loss of some or all of your invested capital; therefore, you should not speculate with funds you cannot afford to lose. Be aware of the risks associated with trading on margin. Please read our full Risk Disclosure Statement and Terms and Conditions.

We do not guarantee profits from trading or any other activities associated with our website. Trading does not grant you access, rights, or ownership to the underlying assets but exposes you to price fluctuations of those assets. If you do not understand or cannot afford the risks involved, you are advised not to trade with us. We do not provide trading advice, recommendations, or guidance. Any trading decision is your sole responsibility and at your own risk, and the Group is not liable for any losses you may incur. Please consult your own legal, financial, and tax advisors for advice and assistance.

Leverage Products:

Leveraged trading products are complex instruments that come with a high risk of losing money rapidly due to leverage. Most retail clients lose money when trading financial instruments. Please consider whether you understand how our products work and whether you can afford the risk of losing your money.

Regulatory Information:

ZORROX operated by Bruce Investments Ltd, 3 Emerald Park, Trianon, Quatre Bornes 72257, Mauritius. Registration Number: C196325, Authorized and regulated by the Financial Services Commission (“FSC”) of Mauritius with License Number GB23201698 as an authorized Investment Dealer. Services are provided only where authorized.

EN-US