China has sharply increased tariffs on US goods, raising levies from 84% to 125% in a direct response to the latest round of tariff hikes introduced by US President Donald Trump. The move was confirmed by the Chinese finance ministry late in the afternoon on April 11 in Beijing according to CNBC, marking a significant escalation in the ongoing trade dispute between the world's two largest economies.

The ministry stated that any further tariff increases by Washington would be economically meaningless and would only serve to tarnish the historical record of global trade policy. Officials added that, at current tariff levels, US imports no longer have a viable market in China. Should the US persist in raising tariffs, Beijing signalled it would disregard further provocations.

The Trump administration confirmed a day prior that the overall tariff burden on Chinese imports has now reached 145%, CNBC reported. This includes the newly introduced 125% reciprocal tariffs and an earlier 20% levy related to fentanyl-related products imposed earlier in the year.

Unlike previous phases of retaliation, Beijing has not expanded its export controls or added new American companies to its so-called “unreliable entity list”, which would expose them to further restrictions within China. And, despite the heightened tensions, a Chinese commerce ministry spokesperson maintained that Beijing remains open to dialogue with Washington, provided it takes place on equal terms.

Hopes for a resolution have dwindled rapidly over the past week as Beijing has struck back with its own set of countermeasures and tightened its grip on American firms operating within China.

CNBC also reported that US Treasury Secretary Scott Bessent accused China of being the most disruptive actor in the global trading system and warned that the latest escalation would ultimately harm Beijing more than Washington.

Also on April 11, in a meeting with Spanish Prime Minister Pedro Sánchez, Chinese President Xi Jinping reiterated Beijing’s opposition to tariff wars, stating that no side benefits from such confrontations. He added that isolating oneself from the global system serves no productive purpose.