China announces an additional 34% tariff on American products in response to the trade war

China has announced that it will impose an additional 34% tariff on American products as a response to the ongoing trade war.

The measure will take effect on April 10. According to the Chinese Ministry of Finance, the U.S. tariffs on Chinese products “do not comply with international trade rules.”

“This U.S. practice is inconsistent with international trade regulations, seriously undermines China’s legitimate rights and interests, and represents a typical unilateral act of bullying,” the Chinese ministry said in its statement.

U.S. President Donald Trump announced 54% tariffs on Beijing, which include previously imposed duties, making China one of the countries most affected on the American tariff list.

Plunge in European stock markets

Immediately after the announcement of the Chinese retaliatory measures, financial markets saw a new plunge. In London, the FTSE 100 index has now lost 313 points, or 3.7%, since the start of trading, falling from 8,173 points and marking the biggest one-day drop since March 2023.

At the same time, the Stoxx 600 index — covering the 600 largest companies in Europe — has fallen by 4.4% today, and Germany’s DAX index is down 5%.