Trump Tariffs Live Updates: India studying impact of US tariffs on chemicals, petrochemicals sector

The government is still assessing the impact of US tariffs on the country's chemicals and petrochemicals industry, a senior official said on Thursday. "We are still studying. We are in touch with the industry and trying to assess how it will impact our industry," Chemicals and Petrochemicals Secretary Nivedita Shukla Verma told PTI on the sidelines of a brainstorming session .

US President Donald Trump on April 9 reduced a planned 26 per cent reciprocal tariff to 10 per cent, just one week after announcing the higher rate on April 2.

The government will determine measures after discussions with industry players, Verma added.

According to industry data, chemicals constitute about 18 per cent of India's total exports to the US, with FY24 exports valued at around USD 5.7 billion.

India Ratings and Research estimates the tariff hike could reduce chemical exports by USD 2-7 billion in FY26.

Industry experts said the tariff increase substantially raises costs for Indian chemical exports to the US, likely reducing demand for speciality chemicals and intermediates.

Indian petrochemical exports to the US, valued at approximately USD 4 billion in 2024, may see reduced demand, though some petroleum oil sub-segments might be exempt, softening the impact.

South Korea's central bank chief said Thursday that annual growth is expected to fall short of a recent forecast due to sweeping US tariffs and the fallout from the ex-president's martial law declaration.

US President Donald Trump's threatened 25 percent "reciprocal" tariffs on the export-dependent South Korea have rattled Asia's fourth-largest economy, sending Seoul-listed shares tumbling and pushing the currency to its weakest level since 2009.

The country has also seen months of political chaos, triggered by former president Yoon Suk Yeol's December attempt to suspend civilian rule, which culminated in his removal from office and new elections announced for June 3.

"This year's annual growth rate is now expected to fall short of the 1.5 percent forecast made in February," said Bank of Korea (BOK) Governor Rhee Chang-yong.

"The tightening of tariff policies, which is much stronger than initially projected, will likely further weigh on growth prospects," Rhee told reporters in a press conference.

He added that "political uncertainty has dragged on longer than expected, delaying the recovery of economic sentiment."

Indian shrimp exporters are keeping their fingers crossed as the US is set to begin its review of anti-dumping and countervailing duties on shrimp next month, and are seeking government intervention to help secure relief amid stiff global competition, industry experts say. The exporters said that the formula of the US to calculate these duties is incorrect, and the Indian government should take up the issues with them bilaterally, as domestic traders are facing tough competition from Ecuador and Vietnam in the American market.

"The US authorities consider India's RoDTEP and duty drawback schemes as incentive schemes, which is not the case. Both are WTO-compliant duty refund schemes only," Kolkata-based seafood exporter and MD of Megaa Moda Yogesh Gupta said.

He added that the US uses a 'zeroing' method to impose anti-dumping duty on shrimp, which is not correct and needs to be re-looked as it distorts the calculation of the margin of dumping.

He said that exporters are concerned and the government should come forward to support them by re-introducing the Transport and Marketing Assistance (TMA) scheme.

Chinese leader Xi Jinping told Malaysia's leader Wednesday that China will be a collaborative partner and stand with its Southeast Asian neighbors in the wake of global economic shocks.
“In the face of shocks to global order and economic globalization, China and Malaysia will stand with countries in the region to combat the undercurrents of geopolitical ... confrontation, as well as the counter-currents of unilateralism and protectionism,” Xi, who was on a state visit to Malaysia as part of his Southeast Asia tour, said in remarks at a dinner with Malaysian Prime Minister Anwar Ibrahim.

“Together we will safeguard the bright prospects of our Asian family," he added.

Xi is visiting Vietnam, Malaysia and Cambodia this week, days after US President Donald Trump’s tariff announcements disrupted the global economy, and he has used the trip to promote Beijing as a source of stability in the region. Although the trip was likely planned before the tariffs uncertainty, it was a chance for Beijing to shore up its own relationships in the region and look for ways to mitigate the 145% tariffs that Trump has kept on China, even as he paused tariffs for other countries.

European Central Bank policymakers look increasingly likely to cut interest rates again on Thursday, with US President Donald Trump's stop-start tariff announcements sowing concern in the eurozone.
The uncertainty around Trump's next move, and the negative impact it could have on growth within the single currency bloc, has intensified calls for the ECB to ease borrowing costs further.

Worries over rising prices have faded into the background, as once sky-high inflation rates have drifted back down towards the ECB's two-percent target.

The central bank has made six quarter-point cuts since June last year as inflation has fallen, bringing its benchmark deposit rate down to 2.5 percent from four percent.

After such a long cutting streak, the central bank "seemed set for a pause" after its last meeting in March, ING bank analyst Carsten Brzeski said.

But the picture has changed significantly since Trump's announcement of a new round of swingeing tariffs, which he referred to as "Liberation Day".

Trump imposed 10 percent tariffs on all imports into the United States.

Asian shares mostly rose Thursday, despite the continued fretting over President Donald Trump’s trade war, with all eyes on negotiations that just began between the administration and Japan.
Japan's benchmark Nikkei 225 gained 0.7% to 34,142.86 in morning trading.

Honda stock price jumped 1.7% after the Japanese automaker said it plans to move its production of the five-door Civic hybrid electric vehicles for the US market from Japan to the company's plant in Indiana.

Honda Motor Co. didn't say the move was in response to Trump's tariff policies but stressed it moves production to where there is demand. Production of the US-bound five-door Civic HEV began at the Yorii plant outside Tokyo in February. So far 3,000 vehicles have been produced there for the US market.

Trump joined Treasury Secretary Scott Bessent and Commerce Secretary Howard Lutnick in the talks with the Japanese delegation in Washington. “Hopefully something can be worked out which is good (GREAT!) for Japan and the USA!” Trump wrote in a social media post ahead of the meeting.

Australia's S&P/ASX 200 gained 0.3% to 7,781.00. South Korea's Kospi edged up 0.5% to 2,459.46. Hong Kong's Hang Seng added 0.5% to 21,165.70, while the Shanghai Composite slipped 0.2% to 3,270.47.

US stocks fell Wednesday after Nvidia warned new restrictions on exports to China will chisel billions of dollars off its results. The S&P 500 sank 2.2% after falling as much as 3.3% earlier. Such an amount would have vied for one of its worst losses in years before the historic, chaotic swings that have upended Wall Street in recent weeks.

The Dow Jones Industrial Average dropped 699 points, or 1.7%, and the Nasdaq composite sank a market-leading 3.1%.

China-founded e-commerce sites Temu and Shein say they plan to raise prices for US customers starting next week, a ripple effect from President Donald Trump's attempts to correct the trade imbalance between the world's two largest economies by imposing a sky-high tariff on goods shipped from China.

Temu, which is owned by the Chinese e-commerce company PDD Holdings, and Shein, which is now based in Singapore, said in separate but nearly identical notices that their operating expenses have gone up “due to recent changes in global trade rules and tariffs.”

Both companies said they would be making “price adjustments” starting April 25, although neither provided details about the size of the increases. It was unclear why the two rivals posted almost identical statements on their shopping sites.

California is suing the federal government over Donald Trump's on-again-off-again tariffs, the governor and attorney general said Wednesday, claiming the American president does not have the right to impose them.

The move marks the strongest pushback yet against a tariff roll-out that has sent global stock markets into meltdown, and left businesses across the US fretting about uncertainty.

"It's the worst own-goal in the history of this country," California Governor Gavin Newsom said. "One of the most self-destructive things that we've experienced in modern American history."

With 40 million people and a large, outward-facing economy that accounts for 14 percent of US GDP, California looks set to bear the brunt of the economic damage forecasters expect from recent gyrations.

Newsom's office says California -- which would be the world's fifth-largest economy if it were an independent country -- could lose billions of dollars in revenue if Trump's tariff policies shrink international trade.

Japan on Wednesday failed to secure any immediate relief from US tariffs, with Prime Minister Shigeru Ishiba saying after his envoy held talks in Washington that future negotiations "won't be easy".

The talks between Ryosei Akazawa and President Donald Trump and other senior US officials were closely watched as a barometer for Washington's negotiations with other countries reeling from US tariffs.

"Of course, the discussions going forward won't be easy, but President Trump has expressed his desire to give the negotiations with Japan the highest priority," Ishiba said in Tokyo.

"We recognise that this round of talks has created a foundation for the next steps, and we appreciate that," Ishiba said, calling Akazawa's discussions in Washington "frank and constructive".

"Of course there is a gap between Japan and the US," he said.

Amid the ongoing tariff standoff between US and China, Beijing on Thursday said that if Wahington continues to play the "tariff numbers game", China will pay no attention to it, news agency Reuters reported.

The comment from the China's foreign ministry came in response to the White House stating that China faces tariffs of up to 245% due to its retaliatory action.

Japan's prime minister said Thursday after his tariffs envoy held talks in Washington that future negotiations "won't be easy".

"Of course, the discussions going forward won't be easy, but President Trump has expressed his desire to give the negotiations with Japan the highest priority. We recognise that this round of talks has created a foundation for the next steps, and we appreciate that," Shigeru Ishiba said in Tokyo.

Tamika Johnson, a 44-year-old in Chicago, posted videos to TikTok this month about her orders from Shein, the Chinese e-commerce giant. She was nervous about potential delivery delays in the face of upcoming tariffs.

Her 213,000 followers chimed in as she shared status updates on her purchases of clothing and suitcases, detailing their own plans for last-minute orders and sharing concerns about their shipments.

"People are very worried," Johnson, who posts to TikTok under the handle @TammyTheBlackPrepper, said in an interview. "I'm trying to stock up on clothes now and the things that I need."

Johnson is one of many American consumers who have been posting anxiously to TikTok and Reddit about a coming Trump administration-induced change for the Chinese e-commerce companies Shein and Temu, which sell inexpensive items like $8 dresses and $14 wagons. Starting May 2, the Trump administration is poised to end a trade loophole that enabled the delivery of ultra low-cost goods from Chinese factories straight to Americans' doorsteps without being subject to duties. That will add steep new fees to packages from Shein and Temu.

At least some sellers on TikTok Shop, the popular app's growing marketplace, and AliExpress, another Chinese e-commerce site, will also take a hit.

California Gov. Gavin Newsom sued the Trump administration on Wednesday, challenging the president's authority to impose sweeping tariffs that have set off a global trade war.
The lawsuit argues that President Donald Trump's use of the International Emergency Economic Powers Act to impose tariffs on Mexico, Canada and China or a 10% tariff on all imports is unlawful. The act enables a president to freeze and block transactions in response to foreign threats but doesn't allow the president to adopt tariffs, the suit argues.

The lawsuit, which was filed in the U.S. District Court for the Northern District of California, also argues that enacting such tariffs requires approval from Congress.

Trump has offered many justifications for increasing tariffs, including that they are designed to spur U.S. manufacturing and stop the flow of illicit fentanyl into the country. California's move follows rapidly changing tariff plans by the Trump administration.

A White House official slammed the lawsuit and defended the tariffs plan.

California's governor and attorney general sued President Donald Trump on Wednesday to try to stop his flurry of tariffs, accusing the president of taking unlawful action to escalate a global trade war that has caused "immediate and irreparable harm" to the state's economy.

The lawsuit is the largest legal challenge yet to Trump's trade policies. It was filed Wednesday in federal court in California by Gov. Gavin Newsom and state Attorney General Rob Bonta, both Democrats.

California is the largest importer and second-largest exporter among the states, and its economy is bigger than those of all but four countries. Mexico, Canada and China are the state's top three trading partners, and its massive agricultural sector exports products around the world.

Trump's tariffs are upending global trade. He imposed a 10% tariff on nearly all imports from most of the world, and his escalating tariffs with China have reached 145%.

"California, as a leader in global trade, bears an inordinate share of these costs," the lawsuit said.

Global trade is expected to plummet this year in the wake of President Donald Trump's tariff offensive, fuelling uncertainty that threatens "severe negative consequences" for the world, the World Trade Organization warned Wednesday.

Since returning to office, Trump has imposed a 10 percent tariff on imports of goods from around the world along with 25 percent levies on steel, aluminium and cars.

While Trump made a U-turn on steeper tariffs for dozens of countries, he has escalated a trade war with China, slapping 145 percent levies on Chinese goods while Beijing retaliated with a 125 percent duty on US products.

"I'm very concerned," WTO chief Ngozi Okonjo-Iweala told reporters, adding that the organisation expected to see trade volumes between the United States and China crumble by a whopping 81 percent.

"The enduring uncertainty threatens to act as a brake on global growth, with severe negative consequences for the world, the most vulnerable economies in particular," she warned in a statement.

The Bank of Canada on Wednesday held its key lending rate at 2.75 percent, pausing a stream of recent cuts due to shifting US trade policy and tariffs.

"The major shift in direction of US trade policy and the unpredictability of tariffs have increased uncertainty, diminished prospects for economic growth, and raised inflation expectations," the central bank said in a statement.

Its rate pause followed seven consecutive rate cuts since last summer that have considerably lowered borrowing costs.

The nation entered 2025 on a solid footing, after ending the previous year with strong growth and inflation easing toward the bank's 2.0 percent target.

But US President Donald Trump's announcements of tariffs, erratic backtracks and threats of escalation have rocked the global economy.

Canada avoided the latest batch of tariffs unveiled on April 2, but was hit with other levies on goods that do not comply with a North American free trade pact, as well as on steel and aluminum, and some automobiles.

Trump has also threatened tariffs on lumber, semiconductors and pharmaceutical products.

"A lot has happened since our March decision five weeks ago. But the future is no clearer," Bank of Canada Governor Tiff Macklem said.

China has expressed its willingness to resume trade negotiations with the United States, provided that certain key preconditions are fulfilled. Among the primary demands is a call for greater diplomatic respect, a consistent US trade stance, attention to its concerns on sanctions and Taiwan, and the appointment of a lead negotiator with Trump's full backing, Bloomberg reported citing a Chinese government source.

US retail sales jumped in March, according to government data published Wednesday, powered by the auto sector as consumers rushed to buy goods before new tariffs kicked in.

Overall sales grew 1.4 percent last month to $734.9 billion, the commerce department said in a statement. That was slightly above market expectations of a 1.3-percent rise, according to Briefing.com.

The data covered the period immediately before US President Donald Trump's steep new levies on trading partners came into effect, unleashing volatility in the financial markets.

Days later, Trump abruptly and temporarily rolled back the import tariffs to 10 percent for many countries, while sharply hiking them for China, the world's second-largest economy.

Tariffs were likely top of mind for consumers, whose spending at motor vehicles and parts dealers rose 5.3 percent from a month earlier.

Spending at restaurants and bars increased by 1.8 percent from February.

"Consumers have to have willingness to buy, and the ability," Allianz Trade North America senior economist Dan North told AFP.

"The ability is provided by disposable income, and that's slowing down as well. So the outlook after this month isn't particularly encouraging," he said.

Exporters at China’s largest trade fair spoke on Wednesday of stalled shipments and lower sales forecasts due to the ongoing trade war with the United States.

Zhang Haiyun, overseas sales director for Airdog, an air purifier maker based in the eastern Chinese city of Suzhou, said her company has halted shipments to the U.S. since President Donald Trump announced sweeping tariffs of 145% on all products imported from China.

“Basically, there are no freight companies willing to take orders because no one knows what will happen to the tariffs when the goods arrive,” Zhang told The Associated Press from her booth at the Canton Fair, which is China’s largest and oldest trade event.

Trump’s so-called “reciprocal tariffs” on China, and essentially all other U.S. trading partners, loomed heavily at the biannual fair, which has been held since 1957.

Global goods trade is expected to fall by anywhere between 0.2 and 1.5 percent this year, depending how US President Donald Trump's tariffs play out, the World Trade Organization said Wednesday.

Warning that the uncertainty surrounding trade policy could have "severe negative consequences for the world", the WTO said world merchandise trade was currently set to fall 0.2 percent in 2025, but that "severe downside risks" surrounding tariffs "could lead to an even sharper decline of 1.5 percent".

US retail sales jumped in March, according to government data published Wednesday, powered by the auto sector as consumers rushed to buy goods before new tariffs kicked in.

Overall sales grew 1.4 percent last month to $734.9 billion, the commerce department said in a statement. That was slightly above market expectations of a 1.3-percent rise, according to Briefing.com.

The data covered the period immediately before US President Donald Trump's steep new levies on trading partners came into effect, unleashing volatility in the financial markets.

Days later, Trump abruptly and temporarily rolled back the import tariffs to 10 percent for many countries, while sharply hiking them for China, the world's second-largest economy.

Tariffs were likely top of mind for consumers, whose spending at motor vehicles and parts dealers rose 5.3 percent from a month earlier.

Spending at restaurants and bars increased by 1.8 percent from February.

"Consumers have to have willingness to buy, and the ability," Allianz Trade North America senior economist Dan North told AFP.

"The ability is provided by disposable income, and that's slowing down as well. So the outlook after this month isn't particularly encouraging," he said.

After SAIL, another large steel player AMNS India has raised concerns over the possible impact of the US administration's decision to impose tariffs on the domestic industry. "The domestic steel industry needs protectionism", Ranjan Dhar, Director & Vice President - Sales and Marketing at Arcelor Mittal Nippon Steel (AMNS) India, told PTI, adding that and the Indian market does not have appetite for any imported steel.

He made the remarks when asked about the impact of US President Donald Trump's announcement last month to impose 25 per cent tariffs on India's domestic steel and aluminium industry.

Earlier, SAIL Chairman Amarendu Prakash had said the imposition of higher tariffs by the US may change the global "trade flows", increasing the chances of India becoming more vulnerable to steel imports as the countries exporting to the US may divert their shipments in the domestic market.

Dhar said China -- the world's largest steel-producing country -- is among the steel-exporting nations to the US and if it does not find a market, it will have to divert its products somewhere.

Indian stock indices closed handsomely higher Wednesday, amid global trade uncertainties that have emanated from the Trump administration's reciprocal tariffs and Chinese counter tariffs.

Sensex closed at 77,044.29 points, up 309.40 points or 0.40 per cent, Nifty closed at 23,437.20 points, up 108.65 points or 0.47 per cent.

"Benchmark indices extended their winning streak for a third consecutive session on Wednesday, with strong buying in the final hour pushing the index to close near the day's high," said Bajaj Broking.

Globally, markets are undergoing fresh consolidation as tariff tensions intensify, with the US increasing tariffs to 245 per cent on Chinese goods.

"Amidst global weakness, the Indian market exhibited a mild positive sentiment in anticipation that the trade fight between the US and China will not harm but benefit India, and March's CPI inflation which is at a 5-year low is indicative of further rate cuts in the near future," said Vinod Nair, Head of Research, Geojit Investments Limited.

India's retail inflation has touched a 67-month low in March, lending some support to the stock indices.

China told Washington on Wednesday to "stop threatening and blackmailing" after US President Donald Trump said it was up to Beijing to come to the negotiating table to discuss ending their trade war.

Trump has slapped new tariffs on friend and foe but has reserved his heaviest blows for China, with 145 percent on many Chinese imports even as Beijing has retaliated with levies on US goods of 125 percent.

"If the US really wants to resolve the issue through dialogue and negotiation, it should stop exerting extreme pressure, stop threatening and blackmailing, and talk to China on the basis of equality, respect and mutual benefit," foreign ministry spokesman Lin Jian said.

"China's position has been very clear. There is no winner in a tariff war or a trade war," Lin said. "China does not want to fight, but it is not afraid to fight."

This year, Trump has imposed an additional 145 percent tariff on many goods from China, stacking atop duties from previous administrations.

Trump initially imposed 20 percent tariffs on imports from China over its alleged role in the fentanyl supply chain, then added 125 percent over trade practices that Washington deems unfair.

His administration has, however, given temporary reprieve for certain tech products -- like smartphones and laptops -- from the latest levy.

The White House said Tuesday it was up to Beijing to make the first move towards ending the dispute, which economists warn could cause a global recession.

"The ball is in China's court. China needs to make a deal with us. We don't have to make a deal with them," said a statement from Trump read out by Press Secretary Karoline Leavitt.

California governor Gavin Newsom said Wednesday that his state will file a lawsuit challenging President Donald Trump's authority to impose sweeping tariffs that have set off a global trade war.

The suit will argue that Trump's use of the International Emergency Economic Powers Act to impose tariffs on Mexico, Canada and China or a 10% tariff on all imports is unlawful. The act enables a president to freeze and block transactions in response to foreign threats.

The lawsuit, which will be filed in the U.S. District Court for the Northern District of California, will also argue that enacting such tariffs requires approval from Congress, Newsom's office said in a news release.

Trump has offered many justifications for increasing tariffs, including that they are designed to spur U.S. manufacturing and stop the flow of illicit fentanyl into the country. California's move follows rapidly changing tariff plans by the Trump administration.

Newsom says the tariffs in effect have resulted in inflated costs and billions of dollars in damage in California, which has the largest economy among U.S. states and is a massive exporter.

“President Trump’s unlawful tariffs are wreaking chaos on California families, businesses, and our economy — driving up prices and threatening jobs,” he said in a statement. “We’re standing up for American families who can’t afford to let the chaos continue.”

Newsom will discuss the lawsuit alongside California Attorney General Rob Bonta later Wednesday in the farm-rich Central Valley. California is a farming powerhouse, with many of the nuts, fruits and vegetables the state grows destined for other countries.

The state will ask the court to immediately block the tariffs.

The announcement comes days after Newsom asked countries to exempt California exports from retaliatory tariffs. No deals have yet been announced.

Singapore "cannot rule out" a recession this year because of the global uncertainty caused by US President Donald Trump's tariffs, its trade minister said Wednesday.

"Given potential downside risks, we cannot rule out the possibility of a recession this year," Deputy Prime Minister and Trade Minister Gan Kim Yong said at a news conference.

US President Donald Trump said he will attend a meeting on Wednesday to negotiate trade tariffs with an envoy from Japan, the biggest investor into the United States.

"Japan is coming in today to negotiate Tariffs, the cost of military support, and 'TRADE FAIRNESS.' I will attend the meeting, along with Treasury & Commerce Secretaries. Hopefully something can be worked out which is good (GREAT!) for Japan and the USA!" he posted on his Truth Social platform.

Moody's Ratings on Wednesday said US tariffs will weaken credit conditions and raise defaults risks especially for low-rated and speculative grade corporates. It said that an unpredictable US trade policy will lead to a deterioration in global credit conditions and macroeconomic impact will slow growth with a growing possibility of recession.

"Non-financial corporate sectors are most at risk from tariffs. Low-rated, speculative-grade companies will be affected by their reliance on debt markets. Risks for most banks and sovereigns are indirect through economic weakness," Moody's Ratings said in a report on US tariffs.

On April 9, the US administration authorised a 90-day pause on the implementation of most reciprocal tariffs, reverting to a universal rate of 10 per cent on almost all targeted countries, while raising tariffs on most goods from China to 145 per cent. On April 16, US further hiked tariffs on exports from China to 245 per cent.

"The tariffs have shocked financial markets and are raising the risk of a global economic recession. Continued uncertainty will impede business planning, stall investment and hit consumer confidence," Moody's Ratings said

Expressing concern over the global economic turmoil triggered by the tariffs announced by US President Donald Trump on goods imported to America, Bahujan Samaj Party supremo Mayawati on Wednesday said the Centre must prioritise the welfare of the poor amid the "Trump tariff game" without "letting its self-respect get affected". Mayawati made the remarks during a meeting with senior party officials and district presidents from Uttar Pradesh and neighbouring Uttarakhand, where she reviewed the organisational structure of the Bahujan Samaj Party (BSP) in both the states.

According to a statement issued by the BSP, taking cognisance of the situation arising out of the "Trump tariff game", Mayawati said that being a developing country with the largest population in the world, the crores of poor and backward Bahujans in India have special problems of inflation, poverty and unemployment, etc., which the government must take special care of while formulating its policies.

On April 2, Trump imposed reciprocal tariffs on many countries, including 26 per cent on India, which he later paused for 90 days, with the exception of China.

"Facing such sudden economic challenges, India should not let its self-respect get affected in any way. It would be best in the national interest to take a decision by prioritising the welfare of the people," the statement quoted Mayawati as saying.

"At a time when India is facing global economic challenges from all sides, the BJP, its state governments, and leaders should abandon the narrow politics of vote banks and cooperate with the Centre shoulder to shoulder.

"Only then will the opposition be forced to rise above party politics and cooperate with the Centre in the larger interest of the country," she added.

Reacting to the White House's statement claiming China now faces up to 245 per cent tariffs on imports to the US, Chinese foreign ministry spokesperson Lin Jian said they should ask the US side for the "specific tax rate figures."

While addressing a press briefing on Wednesday, Lin said that China has repeatedly stated its solemn position on the tariff issue. He said that the tariff war was initiated by the US and that Beijing has taken countermeasures to protect its legitimate rights and interests and international fairness and justice, terming it completely "reasonable and legal."

He noted that tariff and trade wars have no winner. However, he said that China does not want to fight these wars but is not scared of them. He expressed China's commitment to joining hands and removing barriers.

Earlier in a statement shared on X, Lin Jian stated, "In a world full of uncertainties, China remains committed to joining hands, not throwing punches; removing barriers, not erecting walls; promoting connectivity, not pursuing decoupling."

While sharing the statement on X, Lin wrote, "China is the world's market and a source of opportunities for every country."

Beijing has warned Washington to “stop threatening and blackmailing” after US President Donald Trump said it was up to China to come to the table to end their escalating trade conflict.

Chinese foreign ministry spokesperson Lin Jian said on Wednesday that if the US genuinely wanted to resolve the issue through dialogue, “it should stop exerting extreme pressure, stop threatening and blackmailing, and talk to China on the basis of equality, respect and mutual benefit.”

Trump has ramped up tariffs on Chinese imports this year, adding an extra 145% on top of duties already in place from earlier administrations. In response, China has retaliated with 125% tariffs on US goods.

China's economy expanded at a 5.4% annual pace in January-March, the government said Wednesday, supported by strong exports ahead of U.S. President Donald Trump’s rapid increases in tariffs on Chinese products.

With the trade war clouding the outlook, analysts are forecasting that the world’s second largest economy will slow significantly in coming months, however, as tariffs as high as 145% on U.S. imports from China take effect. Beijing has hit back at the U.S. with 125% tariffs on American exports, while also stressing its determination to keep its own markets open to trade and investment.

Chinese leader Xi Jinping's visits is visiting several other Asian countries this week as he makes a case for free trade, presenting China as a source of “stability and certainty” in uncertain times.

Xi was visiting Vietnam, Malaysia, and Cambodia, while the U.S. announced that a senior State Department official, Sean O’Neill, would be traveling this week to Vietnam's capital Hanoi and to Ho Chi Minh City, to Cambodia's Siem Reap and to Tokyo.

China also has been highlighting its focus on trade with countries other than the United States at various trade fairs that are showcasing its vast market and competitiveness as a manufacturing giant.

At China’s Canton trade fair, in the southern city of Guangzhou, exporters were emphatic about the need to look beyond selling to Americans.

“We need to diversify our market. When the West is dark, the East is bright. The global market is huge,” said Wallace Huang, the export business director of Guangdong Weking Group, which makes rice cookers. “In recent years, our exports to the U.S. have slowly been declining.”

US President Donald Trump believes it is up to China, not the United States, to come to the negotiating table on trade, the White House said Tuesday, after the US president accused Beijing of reneging on a major Boeing deal.

"The ball is in China's court. China needs to make a deal with us. We don't have to make a deal with them," said a statement from Trump read out by Press Secretary Karoline Leavitt at a briefing.

"There's no difference between China and any other country except they are much larger," she added.

Leavitt's comments came after Trump accused China of going back on a major deal with US aviation giant Boeing -- following a Bloomberg news report that Beijing ordered airlines not to take further deliveries of the company's jets.

The report also said that Beijing requested Chinese carriers to pause purchases of aircraft-related equipment and parts from US firms.

"They just reneged on the big Boeing deal, saying that they will 'not take possession' of fully committed to aircraft," said Trump in a Truth Social post, referring to China.

He did not provide further details on the Boeing agreement he was referring to.

US President Donald Trump took to Truth Social to defend his sweeping new tariffs, claiming they are benefiting the American economy despite widespread concern over rising prices and market turmoil.

In his post, Trump declared, “The United States is taking in RECORD NUMBERS in Tariffs, with the cost of almost all products going down, including gasoline, groceries and just about everything else. Likewise, INFLATION is down. Promises Made, Promises Kept!”

Chinese foreign ministry spokesperson Lin Jian has responded to the White House’s claim that China now faces tariffs of up to 245% on imports to the United States. Speaking at a press briefing, Lin said, “You can ask the US side for the specific tax rate figures.”

He reiterated China’s position, stating the tariff war was initiated by the United States. Lin stressed that Beijing’s retaliatory actions are “completely reasonable and legal,” aimed at safeguarding the country’s rights and upholding fairness in international trade.

China warned Wednesday it was "not afraid" to fight a trade war with the United States and reiterated calls for dialogue, after US President Donald Trump said it was up to Beijing to come to the negotiating table.

"If the US really wants to resolve the issue through dialogue and negotiation, it should stop exerting extreme pressure, stop threatening and blackmailing, and talk to China on the basis of equality, respect and mutual benefit," foreign ministry spokesman Lin Jian said.

US President Donald Trump has hinted at the possibility of temporarily exempting the auto industry from previously imposed tariffs, aiming to give car manufacturers time to realign their supply chains. At the same time, his administration is moving forward with plans for additional tariffs, launching investigations into key imports such as computer chips, semiconductor manufacturing equipment, and pharmaceuticals.

Honda has announced it will relocate production of its five-door Civic hybrid model, sold in the US, from Japan to America. According to the BBC, a company spokesperson confirmed that manufacturing at the Yorii plant near Tokyo is expected to end by June or July.

The move comes in response to a 25% tariff imposed by the US on foreign-made vehicles, which has affected automakers like Honda that export cars to America.

Nvidia has warned that new US export restrictions on its H20 AI chips to China could result in a $5.5 billion (£4.15bn) hit to its business. In a regulatory filing on Tuesday, the company revealed that US authorities informed them on 9 April that a licence would now be required to export the chips to China.

The Biden administration has been tightening rules on AI chip exports to China, citing national security concerns. The latest move comes just a day after Nvidia announced it would begin manufacturing some AI chips within the US.

Nvidia shares fell more than 6% in after-hours trading following the disclosure.

Ryosei Akazawa, Japan’s minister responsible for negotiating with the US on trade, is heading to Washington in a bid to persuade the Trump administration to ease steep tariffs on Japanese goods.

This diplomatic push follows an agreement last week between US President Donald Trump and Japanese Prime Minister Shigeru Ishiba to begin talks. However, Ishiba has made it clear that Tokyo will not be rushed into a deal or make major concessions.

Speaking to reporters on Tuesday, chief cabinet secretary Yoshimasa Hayashi said Japan will “urge the US side to review its tariff measures,” and emphasised that the Japanese government is adopting a “whole of government approach” to secure results quickly.

Currently, Japan is facing 24% “reciprocal” tariffs from the United States, though these have been paused for 90 days to allow room for negotiations. Despite the temporary reprieve, the country’s influential car industry, including major exporters like Toyota, Honda, and Nissan, is already bearing the brunt of a 25% tariff on vehicle exports to the American market.

China has reaffirmed its stance against rising trade tensions with the United States, urging international cooperation in response to the sweeping tariffs imposed by the Trump administration.

“In the face of external uncertainties, China will insist on shaking hands rather than shaking fists, tearing down walls instead of building barriers, connecting instead of decoupling,” said spokesperson Lin Jian during a press briefing.

At the same time, President Xi Jinping is on a diplomatic tour across Southeast Asia, including stops in Vietnam, Malaysia, and Cambodia. The trip, described as a “charm offensive,” is aimed at reinforcing trade and diplomatic ties with key regional partners as Beijing looks to offset pressure from the United States.

Beijing currently faces 145% tariffs on its exports to the US, while American goods entering China are subject to 125% tariffs.

China has appointed Li Chenggang, its former permanent representative to the World Trade Organization (WTO), as the country’s new top trade negotiator. He takes over from vice commerce minister Wang Shouwen, who had held the position of international trade negotiation representative since 2022.

Li’s appointment comes amid a broader leadership reshuffle and as China faces rising tariff pressures from the United States. The change signals Beijing’s continued focus on navigating the intensifying trade conflict while reinforcing its stated commitment to multilateral trade.

China has repeatedly stressed that it opposes the use of unilateral tariffs and has vowed to maintain a rules-based international trade system through its engagement with global institutions like the WTO.

A top Chinese official strongly criticised the United States over its sweeping new tariffs, accusing Washington of violating global trade rules and undermining economic stability, reported BBC.

Speaking after the release of China’s latest GDP data, Sheng Laiyun, deputy commissioner of the China Statistics Bureau, said Beijing “firmly opposes America’s tariff barriers and trade bullying,” warning that such actions violate World Trade Organization (WTO) principles and have a “serious impact on the global economic order.”

While acknowledging that the new tariffs will place “certain pressure” on China’s foreign trade and broader economy, Sheng struck a confident tone about the country’s resilience. “China’s economy will continue to grow in the long-term,” he said, emphasising the strength of domestic consumption and industrial output.

Sheng also hinted that China is preparing to respond with fresh measures to stabilise growth. “Beijing has a rich policy toolkit,” he said, suggesting further stimulus and support for industries that might be hit by rising trade tensions.

US President Donald Trump took to Truth Social to defend his sweeping new tariffs, claiming they are benefiting the American economy despite widespread concern over rising prices and market turmoil.

In his post, Trump declared: “The United States is taking in RECORD NUMBERS in Tariffs, with the cost of almost all products going down, including gasoline, groceries, and just about everything else. Likewise, INFLATION is down. Promises Made, Promises Kept!”

Hong Kong’s postal service has announced it will stop shipping small parcels to the United States in response to Washington’s decision to impose hefty tariffs on low-value goods from the city.

The US government plans to scrap the “de minimis” exemption — a rule that currently allows imports under $800 to enter tax-free — and will instead introduce a steep 120% tariff on small-value items from Hong Kong starting May 2. This move comes as part of Washington’s broader trade crackdown, treating Hong Kong as part of mainland China in customs law.

Hongkong Post said it will no longer accept sea-bound parcels from Wednesday, citing shipping delays. Airmail services will stop accepting small goods parcels by April 27. The postal service said it won’t act as a tariff collector for the US and warned the public that sending goods there would now incur “exorbitant and unreasonable fees” due to what it called “bullying acts” by Washington.

Only mail containing documents will still be accepted for US delivery.

This latest development deepens the tensions between Hong Kong and the United States. Though Hong Kong is a free port and has different trade policies than mainland China, the US began treating it as part of China after Beijing introduced a sweeping national security law in 2020. That law, criticised by many Western nations, led the US to withdraw Hong Kong’s special trade status and subject it to the same 145% tariffs imposed on Chinese goods.

hen Donald Trump championed the idea of a 10% blanket tariff during the campaign, many people, whether for or against, were taken aback by how radical the idea was.

Alarms sounded about higher inflation, lost jobs, slower growth or recession. The prospect seemed so outlandish that most economists and Wall Street analysts who gamed out the possibilities tended to treat a 10% tariff simply as a bargaining tool.

Now, after a rapid-fire series of announcements from the White House that promised, imposed, reversed, delayed, decreased and increased tariffs, the 10% solution is looking like the most temperate choice rather than the most revolutionary, especially now that a red-hot trade war between China and the United States is blazing.

Yet 10% tariffs have not lost their sting.

At that level, universal tariffs still hit more than 10 times as many imports as the ones targeted during Trump's first term, and are significantly higher and broader than anything the United States has tried in more than 90 years.

The tariff rate is "quite extreme," said Carsten Brzeski, chief eurozone economist at ING, a Dutch bank. "It still brings us back to levels last seen during the 1930s."

In addition to measures targeting China, Trump powered up a long list of punishing taxes -- including a flat 10% tariff on most imports -- on April 9.

"For the U.S. customer, it means everything is going to become more expensive," Brzeski said.