In a significant escalation of trade tensions, the United States has imposed a 10% tariff on all Chinese imports, effective immediately. This move, announced by President Donald Trump, aims to address concerns over China's trade practices and its alleged role in the fentanyl crisis affecting the U.S.

In retaliation, China has announced its own set of tariffs targeting American goods. Starting Monday, Beijing will implement a 15% tariff on U.S. coal and liquefied natural gas, and a 10% tariff on crude oil, agricultural machinery, and certain vehicles. Additionally, China has initiated an antitrust investigation into Google and plans to impose export controls on strategic metals like tungsten and bismuth-related materials.

These developments follow the U.S. administration's decision to pause similar tariffs on Mexico and Canada for 30 days after negotiations. However, no such reprieve was extended to China, leading to the current tit-for-tat measures.

The new U.S. tariffs are expected to impact a wide range of consumer goods, including electronics, clothing, and toys, potentially leading to higher prices for American consumers. The suspension of the "de minimis" rule, which previously allowed duty-free imports of goods valued under $800, means that many low-cost items from Chinese platforms like Shein and Temu will now be subject to tariffs.

Economists warn that these escalating trade measures could have broader implications for the global economy, potentially slowing growth and increasing costs for businesses and consumers alike. The situation remains fluid, with both nations closely monitoring each other's actions and considering further responses.