Monday’s declaration by U.S. President Donald Trump indicates a further escalation in the trade tensions between the United States and China. Trump, in a post on Truth Social media, has stated that the United States will impose an additional 50% tariff on Chinese goods if China does not rescind its recent 34% tariff hike by April 8, 2025. This ultimatum follows China’s retaliatory tariffs and other trade practices that Trump has labeled as abusive.

The new tariff escalation from Trump comes despite markets around the world being rocked by Trump’s reciprocal tarrif announcement last Wednesday. The S&P 500 lost over 10% last week since the announcement and is down another 1.8% today, accelerating losses following the social media post.

In his message, President Trump criticized China for its imposition of a 34% retaliatory tariff, which he views as an addition to its "already record-setting tariffs, non-monetary tariffs, illegal subsidization of companies, and massive long-term currency manipulation." He emphasized that any country retaliating against the U.S. with additional tariffs would face immediate and substantially higher tariffs from the U.S. in response.

Trump’s post clarified the consequences for China if it fails to withdraw the tariff increase. He stated that the new U.S. tariffs would be effective from April 9th. In addition to the tariff threat, Trump also announced that all discussions with China regarding their requested meetings would be terminated if they do not comply with the U.S. demands.

The President’s message comes in the wake of what he describes as China’s long-term tariff abuse of the U.S. He has previously warned that retaliation by any country with additional tariffs would be met with a significant response from the U.S. In his post, he also mentioned that the United States would begin immediate negotiations with other countries that have sought meetings, signaling a shift in diplomatic engagement away from China.