The trade dispute between the United States and China reached a new critical point on April 12, 2025, when China’s Ministry of Finance announced a drastic increase in tariffs on U.S. products, raising them from 84% to 125%. The move is a direct response to the recent policy of former President Donald Trump, who imposed 145% tariffs on Chinese imports just two days earlier.
This action by Beijing represents a significant escalation in the trade war between the two economic powers, affecting not only bilateral relations, but also international markets and the end consumer, especially the Hispanic community living in U.S. that relies on imported products.
Recourse to the WTO
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In addition to the tariff hike, China announced that it will not comply with the new U.S. taxes.
He described them as a maneuver “without economic relevance” and with merely symbolic effects.
In a statement, the Chinese Ministry of Commerce called Trump’s tariffs a “numbers game.”
He also announced a new complaint to the World Trade Organization (WTO).
Accusing Washington of using tariffs as a tool of economic coercion.
“If the U.S. insists on harming China’s interests, we will respond firmly and to the end,” the ministry spokesman assured in a direct message.
Immediate reaction
Following the announcement of China to impose 125% tariffs, global financial markets reacted nervously.
S&P 500 index futures fell again, while the Hang Seng China Enterprises index pared early gains.
The trade dispute between the United States and China has reached a new critical point
QueOnnda.com
The U.S. dollar also weakened, falling more than 1% according to the Bloomberg Dollar Spot index.
These fluctuations reflect investors’ fears of a prolonged trade conflict.
This meassure could impact the cost of goods, supply chains and inflation in the U.S., with particular effects in sectors where the Latino community has a high labor or business presence.
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