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BEIJING – In an escalating trade war between the world’s two largest economies, China this Monday accused Washington of misusing tariffs. Beijing cautioned nations against pursuing broader economic agreements with the United States that might disadvantage China. This sharp rhetoric underscores the deepening rift in US-China trade relations.
China Warns Against Deals at Its Expense
The Commerce Ministry in Beijing declared it would firmly oppose any nation forging an accord detrimental to China’s interests. It asserted it would enact countermeasures in a resolute and reciprocal manner.
Response to Reports of US Pressure Tactics
This pronouncement followed a Bloomberg report, citing informed sources, indicating that the Trump administration is allegedly pressuring countries seeking tariff reductions or exemptions from the U.S. to curtail commerce with China, possibly through financial penalties.
President Donald Trump had previously suspended widespread tariffs on numerous countries on April 2, but notably maintained levies on China, specifically targeting the world’s second-largest economy with the most substantial duties.
Washington has progressively amplified tariffs on Chinese imports, reaching levels as high as 145%. This prompted Beijing to impose retaliatory duties of up to 125% on U.S. goods, effectively establishing trade barriers between the two nations. However, last week, China indicated its general tariff rates would not be further increased.
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According to the ministry spokesperson, “The United States has exploited tariffs against all trade partners under the guise of ‘equivalence’, while coercing parties into initiating ‘reciprocal tariffs’ negotiations.”
The ministry affirmed China’s resolve and capability to protect its rights and interests, expressing its commitment to reinforcing collaboration with all nations.
Expert Analysis on Global Stance
“In reality, no country desires to choose sides,” observed Bo Zhengyuan, a partner at Plenum, a policy consultancy based in China.
“For nations heavily reliant on China for investment, industrial infrastructure, technological expertise, and consumer markets, yielding to U.S. demands seems improbable. Many Southeast Asian countries fit this profile.”
Adopting a firm stance, Beijing is scheduled to convene an informal United Nations Security Council meeting this week to denounce Washington for alleged bullying and for purportedly “casting a shadow over global peace and development endeavors” through the weaponization of tariffs.
Earlier in the month, U.S. Trade Representative Jamieson Greer mentioned that approximately 50 countries had approached him to discuss the significant additional tariffs imposed by the Trump administration.
Since then, several bilateral tariff discussions have transpired. Japan is reportedly considering increasing soybean and rice imports as part of its negotiations with the U.S., while Indonesia is purportedly planning to augment imports of U.S. food and commodities and decrease orders from other countries.
Nations “Caught in the Crossfire”
Trump’s tariff policies have unsettled global financial markets, with investors expressing concerns that a severe disruption in international trade could precipitate a global economic downturn.
On Monday, Chinese stock markets showed marginal gains, exhibiting minimal reaction to the commerce ministry’s remarks. However, investors generally maintain a cautious outlook on Chinese assets due to escalating economic growth uncertainties.
The Trump administration has also been actively attempting to impede Beijing’s advancements in the development of sophisticated semiconductor chips, citing potential military applications. Last week, it also introduced port fees on vessels constructed in China, aiming to curb China’s dominance in shipbuilding.
AI chip manufacturer Nvidia announced the previous week that it anticipated incurring $5.5 billion in charges due to US restrictions on AI chip exports.
China’s President Xi Jinping undertook visits to three Southeast Asian countries last week, seeking to strengthen regional alliances and urging trade partners to resist unilateral coercion.
Beijing has stated its commitment to “dismantling barriers” and broadening its network of trade partners amidst ongoing trade disputes.
The stakes are particularly high for Southeast Asian nations, which are feeling pressure from the US-China trade war, especially considering the ASEAN bloc’s substantial two-way trade relationships with both China and the United States.
Southeast Asian Trade Negotiations
Economic ministers from both Thailand and Indonesia are presently in the United States, with Malaysia expected to join them later in the week, all pursuing trade negotiations.
Six Southeast Asian countries have been subjected to tariffs ranging from 32% to 49%, posing a threat to trade-dependent economies that have previously benefited from investments spurred by tariffs imposed on Beijing during Trump’s initial term.
ASEAN has become China’s largest trade partner, with total trade volume reaching $234 billion in the first quarter of 2025, according to data released last week by China’s customs agency.
Trade between ASEAN and the U.S. amounted to approximately $476.8 billion in 2024, based on U.S. figures, making Washington the regional bloc’s fourth-largest trade partner.
“There are no victors in tariff wars and trade wars,” Xi stated in an article published in Vietnamese media, without specifically naming the United States.