China and the European Union are fighting fire with fire by upping their tariffs on U.S. goods.
These retaliation levies are meant to counter those imposed by President Donald Trump.
The Chinese Finance Ministry said the 84% tariffs on U.S. goods will start Thursday. This is up from the 34% previously announced, the finance ministry said Wednesday, per USA Today.
“If the U.S. insists on further escalating its economic and trade restrictions, China has the firm will and abundant means to take necessary countermeasures and fight to the end,” the Ministry of Commerce wrote Wednesday.
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The EU jumped on board by imposing 25% tariffs on U.S. imports. The 27-member EU is facing U.S. tariffs of 20% on most products. Levies onautos and steel are higher.
Trump has imposed reciprocal levies, including a tax on Chinese goods of 104%.
These tariffs went into effect Wednesday at 12:01 a.m.
While approximately 70 countries are open to negotiating the tariff issue, China had stood firm.
China’s Commerce Ministry has called the U.S.’s move “a mistake on top of a mistake” and said “China will never accept it.”
Treasury Secretary Scott Bessent told Fox Business Wednesday the 84% tariff on U.S. goods will have little impact.
“Their exports to the U.S. are five times our exports to China,” Bessent said. “They can raise their tariffs, but so what?”
