China has warned countries against cooperating with the US in ways that threaten its interests, saying it will take reciprocal countermeasures.

This follows reports that the Trump administration is using tariff negotiations to pressure allies to limit trade with China.

While Trump paused tariff hikes on some nations for 90 days, duties on Chinese goods were raised to 145%.

In response, China imposed 125% levies on US imports, restricted critical mineral exports, and blacklisted several smaller American companies.

The Chinese Ministry of Commerce criticized the US for “abusing tariffs” and “unilateral bullying.”

It warned of a return to the “law of the jungle” in global trade and called for international cooperation.

🔗 Source: CNBC

🧠 Food for thought

1️⃣ The escalation pattern follows a seven-year blueprint of retaliation

China’s warning about “reciprocal countermeasures” follows a consistent pattern established since the trade war began in 2018.

The conflict has followed a predictable cycle of escalation: the US imposes tariffs, China retaliates with equivalent measures targeting strategic sectors, then both sides increase rates in subsequent rounds 1.

When the US first imposed 25% tariffs on $34 billion of Chinese goods in July 2018, China immediately responded with matching tariffs specifically targeting US agricultural exports like soybeans and pork 2.

This latest escalation mirrors previous rounds but at unprecedented levels, with US tariffs now at 145% and Chinese retaliatory tariffs at 125%—far beyond the 10-25% rates seen in earlier phases of the conflict 3.

The Ministry of Commerce statement reflects language used in previous trade disputes, demonstrating how Beijing’s approach has remained consistent despite leadership changes in Washington.

2️⃣ China’s Southeast Asia pivot represents a strategic trade realignment

Xi’s visits to Vietnam, Malaysia, and Cambodia reflect a deliberate trade diversification strategy that has been underway since 2018.