the Chinese Ministry of Finance announced on Friday its decision to increase tariffs on American imports to 125%, up from the previously declared 84%. The new tariffs will take effect starting Saturday, April 12, 2025.

This step comes as part of China’s response to what it describes as “unjust economic measures” imposed by the U.S. administration, including restrictions on Chinese technology companies and tariffs on sensitive goods such as electronics, energy, and AI-related products.

The decision is expected to significantly impact American exporters to China and adds further strain to already tense economic relations between the world’s two largest economies. While the ministry has not released an exact list of the affected goods, the substantial increase suggests broad coverage across key sectors.

Observers fear that this latest move may lead to further disruption in global supply chains and financial markets, particularly given the lack of any clear signals regarding the resumption of trade negotiations between the two countries.