Trump says he’s preparing for ‘war’ as he defends China tariffs & global stocks rally despite fears over electronics tax
- Trump spares phones, computers & chips from tariffs
- Xi Jinping breaks silence
- China raises US tariffs AGAIN
- What does the US import most from China?
- Stock market skyrockets
- China issues travel advisory
- EU hits back with 25% tariffs
- Every country on Trump's tariff list
- Trump's response to Chinese hike
- Beijing prepared to 'fight till the end'
- China hikes up tariffs on US
PRESIDENT Donald Trump has insisted his sweeping tariffs will keep America ready in case it needs to defend itself in war.
Trump said he doesn't want the US to have to depend on China for resources, days after revealing that no country will be "getting off the hook" after pausing reciprocal tariffs for 90 days.
"We're going to have our drugs made in the United States, so that in case of war, in case of whatever, we're not relying on China and various other countries, which is not a good idea," Trump told reporters on Sunday night.
His statement comes as the stock market inched up on Monday morning following a week of historic swings while markets reacted to Trump relaxing his reciprocal tariffs.
The S&P 500 was up 1.7% in early trading on Monday. The Nasdaq composite was rising 2.5% and the Dow Jones Industrial Average was up 434 points.
Apple, Nvidia, and other tech giants also rose in the market after Trump promised to exempt smartphones, computers, and other electronics from his tariffs.
However, Trump's crackdown on foreign imports shocked gamers after Sony said it will hike the price of its beloved PlayStation 5 console in markets in Europe, Britain, Australia and New Zealand - citing high inflation and fluctuating exchange rates.
The Japanese technology and entertainment giant is raising the cost of a PS5 without a disc drive by 11% to $569.59 from April 14.
The price of the same device will rise by 10% in Britain to £429.99 - or $566.90.
Manufacturers of electronics are facing headwinds including trade disruption in the wake of the imposition of tariffs by Trump.
Nintendo said earlier this month it is delaying the start of pre-orders for the Switch 2 gaming device in the United States as it examines the potential impact of tariffs.
The Switch 2, which Nintendo said last month is priced at $449.99 in the US, is the long-anticipated successor to its hit hybrid home-portable Switch and is due to launch on June 5.
Meanwhile Xi Jinping has said "there are no winners in a trade war, or a tariff war," as he kicked off a diplomatic tour of Southeast Asia today.
The Chinese president also reiterated China's commitment to global trade - unlike Trump's latest tariffs moves, he hinted.
Xi wrote in an editorial, jointly published in Vietnamese and Chinese official media: "Our two countries should resolutely safeguard the multilateral trading system, stable global industrial and supply chains, and open and cooperative international environment."
It comes after Trump warned that no country will be "getting off the hook" as the Republican revealed new rates will come this week.
Trump pushed back against suggestions that the pausing of "reciprocal" tariffs on Friday meant that countries initially hit with the heavy levies had been spared.
Instead, he warned that no country is "off the hook," singling out China for criticism after his administration created exceptions for certain tech products.
He said in a post on his Truth Social platform: "NOBODY is getting 'off the hook' for the unfair Trade Balances.
"Especially not China which, by far, treats us the worst!"
America had spared smartphones, computers, TVs, and microchips from a brutal 145% tariff on Chinese goods.
But, on Sunday, Trump said he would be announcing the tariff rate on imported semiconductors over the next week.
However, he revealed there would be some flexibility with various companies in the key sector.
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Chinese leaders to meet later today
China's top officials are due to hold a crunch meeting later today to discuss the next steps needed to help boost the economy.
Officials from the state council, central bank, finance ministry and dozens more are expected to attend the meeting, sources told Reuters.
Every country now hit by Trump's tariffs
IN order of who now faces the largest US reciprocal tariff...
- China 104%
- Cambodia 49%
- Laos 48%
- Madagascar 47%
- Vietnam 46%
- Myanmar 44%
- Bangladesh 37%
- Serbia 37%
- Botswana 37%
- Thailand 36%
- Taiwan 32%
- Indonesia 32%
- Switzerland 31%
- South Africa 30%
- Pakistan 29%
- Tunisia 28%
- Kazakhstan 27%
- India 26%
- South Korea 25%
- Japan 24%
- Malaysia 24%
- Cote d'Ivoire 21%
- Jordan 20%
- European Union 20%
Another 25 countries also face a reciprocal tariff which sits below 20% - including the UK who are at 10%.
Internet sensation MrBeast says Trump's hike was 'pretty brutal'
Internet sensation MrBeast has spoken out and criticised Trump's tariff policy.
The YouTuber, real name Jimmy Donaldson, said the tariffs could be a "nail in the coffin" for small businesses.
He said on X: "Ironically because of all the new tariffs it is now way cheaper to make our chocolate bars we sell globally NOT in America."
Alongside his booming YouTube career, MrBeast owns the chocolate business Feastables.
He added that he was already "spending a lot" on cocoa and that the Republican's "random price hike was pretty brutal".
MrBeast concluded: "We'll figure it out. I feel for small businesses though. Could really be a nail in the coffin for them."
Credit: Getty
Trump responds to tariff hike
US President Donald Trump is urging businesses to relocate to the US in his first remarks since China declared it would increase its import tax to 84%.
Writing on social media platform Truth Social, the US president said: "This is a GREAT time to move your COMPANY into the United States of America.
"ZERO TARIFFS, and almost immediate Electrical/Energy hook ups and approvals. No Environmental Delays. DON’T WAIT, DO IT NOW!"
Credit: Reuters US calls China's retaliation 'unfortunate'
Credit: AFP US Treasury Secretary Scott Bessent branded China's move as 'unfortunate'.
In an interview with Fox Business Network, Bessen said: "I think it's unfortunate that the Chinese actually don't want to come and negotiate, because they are the worst offenders in the international trading system."
He stated that everything is on the table when questioned about the possibility of removing Chinese stocks from US markets.
Up to 18 US companies banned from doing business in China
China is also adding 12 US companies to an export control list and six to a list of unreliable entities.
This implies that Chinese enterprises are unable to conduct business with these companies.
We have yet to learn the firms' names.
The actions will take effect at midnight US Eastern Time.
Beijing prepared to 'fight till the end'
In a policy statement announcing the action, China's commerce ministry warned that Beijing "has the firm will and abundant means to take necessary countermeasures and fight to the end".
China has called the US tariff escalation ineffective.
“History and facts have proven that the United States’ increase in tariffs will not solve its own problems,” said the policy statement.
“Instead, it will trigger sharp fluctuations in financial markets, push up US inflation pressure, weaken the US industrial base and increase the risk of a US economic recession, which will ultimately only backfire on itself."
European markets plummet further after China's announcement
Credit: Getty European markets have plummeted even more after China announced 84% tariff on US imports.
The main UK-listed companies' index, the FTSE 100, has fallen 3.3% so far today, while the French Cac 40 and German Dax have both fallen 4%.
All eyes will be on US markets after they open at 14:30 BST.
China hikes up tariffs on US
China's finance ministry has increased a tariff on all goods imported from the US by 84%.
The change will be implemented on April 10.