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In a dramatic escalation of the U.S.–China trade war, White House press secretary Karoline Leavitt confirmed Tuesday that the United States will impose a 104% tariff on all goods imported from China, effective 12:01 a.m. EDT on Wednesday. The move follows through on President Donald Trump’s warning issued Monday on his Truth Social platform and is expected to have sweeping economic consequences both domestically and internationally.
The steep levy combines previously announced tariffs—including a 34% China-specific duty and a 20% penalty related to fentanyl trafficking—with a new 50% retaliatory tariff, triggered by China’s recent announcement of its own 34% tariff on U.S. products.
“President Trump has a spine of steel and will not break,” Leavitt said during Tuesday’s briefing. “A strong America cannot be solely dependent on foreign countries for our food, medicines, and critical minerals.”
The White House framed the sweeping tariffs as part of a broader effort to reset global trade relationships and bring manufacturing back to U.S. soil. Leavitt emphasized that the goal is not just punishment but negotiation. “To countries around the world, bring us your best offers and he will listen,” she said, adding that 70 countries have already initiated talks to renegotiate tariff rates.
However, China has shown no signs of backing down. In a statement from its commerce ministry, Beijing said it would “fight to the end” and promised countermeasures if Trump follows through on his threats.
Trump has also halted all trade negotiations with China, while actively pursuing deals with other nations. “Deals will only be made if they benefit American workers,” Leavitt noted, underscoring Trump’s emphasis on reshoring jobs and bolstering domestic industries.
Critics of the tariff escalation warn that the move could reignite inflation and slow economic growth at a precarious time for the U.S. economy.
“Whether or not the menu of tariffs causes a recession remains in question, but it will slow down growth,” JPMorgan Chase CEO Jamie Dimon wrote in his annual letter to shareholders on Monday.
Meanwhile, Goldman Sachs has raised the odds of a recession in the next 12 months to 45%, up from 35%, citing tightening financial conditions, increased global uncertainty, and potential consumer boycotts of American products.
Economists point to how tariffs are typically absorbed by consumers, with importers passing the costs down the supply chain. According to previous estimates from Yale’s Budget Lab, existing tariffs were already set to increase annual consumer costs by nearly $3,800 per household—a figure likely to rise further under the new 104% regime.
Trump’s move represents one of the most aggressive applications of tariff policy in modern American history and places new pressure on an already tense global trade landscape. With China digging in its heels and Wall Street growing uneasy, the long-term economic and diplomatic fallout remains to be seen.
