Beijing, China – In response to the Trump administration’s tariffs, China retaliated with a series of countermeasures, escalating tensions between the two economic powerhouses. The Chinese government announced 15% tariffs on American coal and liquefied natural gas, as well as 10% tariffs on crude oil, farm equipment, and certain vehicles, set to take effect on February 10th.

The Chinese finance ministry declared that the U.S. tariffs violated World Trade Organization (WTO) rules and disrupted economic and trade cooperation between the two countries. Additionally, China’s market regulator initiated an anti-monopoly investigation into Google, while imposing export controls on rare metals such as tungsten, indium, and molybdenum.

Two U.S. firms, PVH Group and Illumina, Inc., were placed on China’s “unreliable entity” list for market violations and discriminatory measures against Chinese companies. These measures were announced separately from the U.S. tariffs, demonstrating China’s resolve in responding to the trade tensions.

President Trump’s tariffs were introduced as a pressure tactic against China, Canada, and Mexico to address issues related to migration and drug flow into the U.S. While tariffs on Mexico and Canada have been paused following border security negotiations, the situation with China remains tense.

Experts suggest that China’s retaliatory measures are relatively limited, targeting only a fraction of its imports from the U.S. Despite the calculated response, there is a risk of further escalation in tariffs, potentially worsening the trade dispute between the two nations.

As the trade standoff continues, the prospect of de-escalation remains uncertain. China’s role as a major supplier of precursor chemicals for fentanyl production adds complexity to the situation, with Beijing warning of potential harm to future cooperation. President Trump’s looming decision on additional tariffs further complicates the already strained relationship between the U.S. and China.

Efforts to ease the conflict may prove challenging, as underlying economic and political grievances between the two countries run deep. The possibility of further tariff escalation remains a concern, adding to the uncertainty surrounding the future of U.S.-China trade relations.