White House confirms 104% tariff rate for China to start at midnight
China accuses U.S of bullying after tariff increase
Threats and pressure are not the right way to deal with China, a Chinese foreign ministry spokesperson said on Monday after describing U.S. President Donald Trump's "reciprocal tariffs" as bullying. The tariffs are "typical unilateralism and protectionism, and economic bullying", spokesperson Lin Jian told a regular press conference, adding that U.S. tariffs in the name of reciprocity only serve its own interest at the expense of other countries.
WASHINGTON - President Donald Trump threatened on Monday to raise his tariffs even further on China, the world’s second-largest economy.
These tariffs would coincide with Trump's latest set of broad tariffs, which are scheduled to kick in at 12:01 a.m. early Wednesday.
104% tariff rate for China to kick in
What they're saying:
On Tuesday, White House press secretary Karoline Leavitt confirmed that Trump’s threats of even higher tariffs on China would become a reality after midnight, when imports from China are taxed a stunning 104% rate.
"It was a mistake for China to retaliate," Leavitt told reporters. "When America is punched, he punches back harder. That’s why there will be 104% tariffs going into effect tonight at midnight."
She added that Trump believes China "wants to make a deal" but doesn't know how to get that started.
President Donald Trump holds up a chart of "reciprocal tariffs" while speaking during a "Make America Wealthy Again" trade announcement event in the Rose Garden at the White House on April 2, 2025 in Washington, DC. (Credit: Chip Somodevilla/Getty Im
According to Jamieson Greer, the country’s top trade negotiator, Trump has made clear that he does not intend to have any exemptions or exclusions in the tariffs.
The U.S. trade representative also said in testimony before a Senate committee that roughly 50 countries have already been in contact, and he's told them: "If you have a better idea to achieve reciprocity and to get our trade deficit down, we want to talk with you, we want to negotiate with you."
Trump’s tariffs impact stock market
Trump's severe tariffs against virtually all U.S. trading partners continued to impact the stock market on Tuesday.
RELATED: Price tag: How much Americans could pay between tariffs and tax cuts expiring
After roaring to an early jump of 4.1%, which had it on track for its best day in years, the S&P 500 quickly lost all of it within a few hours. It then waffled between modest gains and losses before scratching out a rise of 0.4% in afternoon trading.
The big question remains centered on how long Trump will keep his stiff tariffs on other countries, which would raise prices for U.S. shoppers and slow the economy. If they last a long time, economists and investors expect them to cause a recession. But if Trump lowers them through negotiations relatively quickly, the worst-case scenario can be avoided.
The Source: This story was reported from Los Angeles. The Associated Press contributed.