White House says China to face 245% tariff

The White House confirmed the steep levies late Tuesday, coinciding with President Donald Trump’s executive order launching an investigation into the national security implications of America’s dependence on imported critical minerals.

The executive order directs the Secretary of Commerce to initiate a Section 232 investigation under the Trade Expansion Act of 1962—a statute earlier used by the Trump administration to examine imports of steel, aluminium, and copper.

Though China wasn’t named in the order, it is the top global producer of 30 out of 50 critical minerals listed by the US Geological Survey.

The latest tariff hikes follow Beijing’s April 4 move to impose export restrictions on seven rare earth elements and associated magnets essential to US defence, automotive, and energy sectors.

China responded further by levying tariffs of up to 125% on US imports, intensifying the tit-for-tat trade measures.

At a press briefing, White House Press Secretary Karoline Leavitt quoted Trump as saying, “the ball is in China’s court” and that “China needs to make a deal with us, we don’t have to make a deal with them.”

China's Foreign Ministry Spokesperson Lin Jian condemned Washington’s approach, saying “constructive talks require mutual respect and equality,” and that the US must stop exerting "maximum pressure" if it wants genuine dialogue.

Separately, China’s Defence Ministry hit out at the US after reports surfaced that Washington is planning a significant defence budget hike in 2026.

Spokesperson Zhang Xiaogang said the rising spend underscores America’s “bellicose nature” and criticised its faith in brute force.

“The sky-high defence budget exposes the US belief in ‘might makes right’,” Zhang said. “Wanton use of force will not make America great again.”

To temper friction with allies, Trump announced a 90-day pause in higher tariffs for 75 countries engaged in trade negotiations with the US, including India.

“At some point, China will realise that the days of ripping off the US and other countries are over,” Trump wrote on Truth Social on April 9.