China Hits Back at U.S. with 34% Tariffs and Rare Earth Export Restrictions

China announced on Friday (April 4) that it will impose 34% tariffs on U.S. products starting April 10—matching the rate of tariffs imposed earlier this week by U.S. President Donald Trump on Chinese imports.

In addition, the Chinese government unveiled new restrictions on the export of rare earth minerals and banned the export of dual-use (civilian and military) items to 16 U.S. companies—moves widely seen as retaliation for Trump’s aggressive tariff hikes.

The announcement comes just two days after the United States imposed 34% tariffs on all Chinese imports, further escalating the trade war Washington initiated.

After announcing its 34% tariff, China’s State Council Tariff Commission called for the U.S. to “immediately cancel its unilateral tariff measures and resolve trade differences through equal, respectful, and mutually beneficial consultations.”

Beijing argues that the U.S. actions violate international trade rules and harm China’s national interests.

“This is a typical act of unilateral bullying that not only damages U.S. interests but also threatens global economic development and the stability of supply and production chains,” the statement added.

Also on Friday, China’s Ministry of Commerce announced immediate restrictions on certain rare earth-related exports—materials deemed strategically vital for high-tech industries.

“These measures aim to better safeguard national security and interests and to fulfill non-proliferation and other international obligations,” a spokesperson for the ministry said, according to China’s Xinhua News Agency.

The third retaliatory measure prohibits the export of materials that can be used in both civilian and military sectors to 16 U.S. entities, citing the need to “safeguard national security and interests.”

A Heavy Blow

According to China expert and economist Elias Jabbour, a professor at the State University of Rio de Janeiro (UERJ), these are some of Beijing’s most forceful countermeasures yet and could severely impact Trump’s political and electoral base.

“This is a heavy blow. Until now, China had been responding in a targeted way. But this new tariff hike could significantly affect the interests of American companies operating in China—nearly all of which rely on the Chinese market for profits,” said Jabbour.

He added that the new tariffs could lead to inflationary pressure in the U.S.—something Trump cannot control in the short term.

The economist also highlighted the United States’ dependence on rare earth minerals essential for manufacturing semiconductors and other high-tech equipment.

“China exports a lot of rare earths to the U.S., so the impact is real. That’s part of why Trump is interested in places like Ukraine and Greenland,” Jabbour concluded.

Source: Agência Brasil

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