China hits back after Trump’s 125% tariff hike

China Responds Strongly to Trump’s 125% Tariff Hike as Global Markets React

China has strongly pushed back after former U.S. President Donald Trump announced a steep 125% tariff on Chinese goods while giving other countries a temporary 90-day pause.

Speaking at a regular press briefing, China’s Foreign Ministry said it does not seek conflict but will not be intimidated. Spokesperson Lin Jian made it clear that China won’t stand by if its people’s rights are threatened. “The U.S. approach won’t win public support and is bound to fail,” Lin said.

Trump’s Tariff Pause Leaves China Out

President Trump recently introduced a 90-day pause on new tariffs, but excluded China from the relief. Instead, he raised tariffs on Chinese imports to 125%, a significant increase aimed at pressuring Beijing.

Trump has accused other countries—especially China—of unfair trade practices, saying they are “plundering” the U.S. economy by overtaxing American goods.

China Fights Back with Its Own Tariffs

In response, China announced new tariffs of 84% on U.S. goods, labeling the Trump administration’s actions as “tax blackmail.” Beijing emphasized it would not bow to pressure and warned of further countermeasures if the U.S. doesn’t scale back its trade aggression.

This escalation adds new tension to the ongoing U.S.–China trade war, which has been a key issue throughout Trump’s presidency.

Stock Markets Rally Despite Tensions

Surprisingly, the announcement of the 90-day pause helped ease investor fears—at least for the moment. Global stock markets surged on the news, though the U.S.–China conflict remains a wild card.

In the U.S., Wall Street saw a massive rebound:

• Dow Jones jumped 2,962.97 points (7.87%) to 40,608.56

• Nasdaq rose 1,867.06 points (12.16%) to 17,124.97

• S&P 500 gained 474.93 points (9.53%) to close at 5,456.20

Asian markets also surged:

• Nikkei 225 (Japan) jumped 8%

• Kospi (South Korea) climbed over 5%

• ASX 200 (Australia) rose 5% in early trade

Investors were hopeful the tariff pause for non-Chinese goods would limit immediate global economic fallout. However, experts warn that volatility may return as the U.S.–China standoff develops.