104% tariffs imposed on China, confirms White House, effective from April 9

The United States has imposed 104 per cent tariffs on China, effective April 9, the White House has confirmed to a Fox Business reporter. The development follows a warning and a one-day deadline issued by President Donald Trump to China demanding rollback of its 34 per cent duty on US imports.

Earlier this week, Trump had stated that China would face an additional 50 per cent tariff on top of an already-announced 34 per cent levy unless it reversed its reciprocal tariffs on US imports within one day. The White House’s confirmation marks the implementation of these combined tariffs.

In response to the initial 34 per cent US tariff, China announced a 34 per cent reciprocal tariff on US goods, effective April 10. China’s Commerce Ministry stated it would take countermeasures to protect national interests and accused the US of tariff escalation and economic pressure.

China’s Finance Ministry also announced new export controls on medium and heavy rare-earth elements, including samarium, gadolinium, terbium, dysprosium, lutetium, scandium, and yttrium. These controls are effective from April 4.

The S&P 500 has dropped by 20 per cent from its February peak. The Dow Jones Industrial Average is down more than 17 per cent from its highest level. The Nasdaq entered bear market territory the previous week.

In China, the Hang Seng Tech Index has declined by 27 per cent in one month. The yuan has fallen to its lowest level since January. Chinese government bonds have seen a sharp rally.

On April 2, Trump also announced 26 per cent tariffs on imports from India, labelling them “reciprocal” tariffs as part of a broader trade policy shift.