What products could be most impacted by the new 125% tariff against China?
President Donald Trump announced today that he is pausing reciprocal tariffs on all countries except China. The president instead levied a 125% tariff against China in retaliation for Beijing raising its tariffs on US goods to 84%. It's the latest in a tit-for-tat that experts say will lead to price hikes for American consumers.
President Donald Trump announced today that he is pausing reciprocal tariffs on all countries except China. The president instead levied a 125% tariff against China in retaliation for Beijing raising its tariffs on US goods to 84%. It's the latest in a tit-for-tat that experts say will lead to price hikes for American consumers.
President Donald Trump announced today that he is pausing reciprocal tariffs on all countries except China. The president instead levied a 125% tariff against China in retaliation for Beijing raising its tariffs on US goods to 84%. It's the latest in a tit-for-tat that experts say will lead to price hikes for American consumers.
President Donald Trump announced today that he is pausing reciprocal tariffs on all countries except China. The president instead levied a 125% tariff against China in retaliation for Beijing raising its tariffs on U.S. goods to 84%. It's the latest in a tit-for-tat that experts say will lead to price hikes for American consumers.
"Low tariffs we could manage, but I think where tariffs are now, it could well choke off a very, very large portion of trade from China — and it hits a broad swath of the U.S. economy," Steve Cochrane, a Moody's economist, said.
The top U.S. imports from China include mobile phones ($64.1 billion), computers and accessories ($50.5 billion), electric and industrial equipment ($46.2 billion), toys, games, and sporting goods ($30.8 billion), clothing and textiles ($20.3 billion), car parts ($15.5 billion), appliances ($14.8 billion), telecom equipment ($13 billion), and furniture ($12 billion).
Experts say businesses in those industries could pass on tariff costs to consumers. The American Hospital Association warns that tariffs on Chinese medical supplies could jeopardize patient care by disrupting access to drugs and equipment the healthcare system relies on.
While American consumers could feel the pinch, U.S. exporters now face an 84% tariff to enter China. China is a major market for U.S. farmers, who could be hardest hit, as they were during the president's first trade war. Key U.S. exports to China include soybeans ($12.8 billion), aircraft and parts ($11.5 billion), pharmaceuticals ($10 billion), semiconductors ($9.9 billion), industrial machines ($7.4 billion), crude oil ($6.2 billion), liquid natural gas ($5.9 billion), plastic materials ($5.4 billion), cars (new and used) ($4.9 billion), and medicinal equipment ($4.3 billion).
"China wants to make a deal; they just don't know how quite to go about it," said President Trump.
However, China seems uninterested in negotiations. A spokesperson said, "If the U.S. truly wants to resolve issues through dialogue and negotiation, it should adopt an attitude of equality, respect, and mutual benefit."
Trade between the United States and China topped $660 billion last year.
Goods aren't the only things at risk. According to a 2024 report from the U.S.-China Business Council, more than 930,000 U.S. jobs were supported by exports to China in 2022.