African Countries Keep Cool as China, EU Respond to U.S Tariffs
China and the U.S. bicker in a show of strength with tariff combats, but the European Union has shown preference for negotiation instead. African countries have proven to be negligible in the global trade equation despite their massive resources.
No African country has responded meaningfully, raising questions about the capabilities and ability of the 54 countries to influence global trade.
On April 2, U.S. President Donald Trump announced higher tariffs on exports into America in a way that redefined globalisation of trade. The decision to impose higher tariffs at different degrees and rates impacts trade with some 180 countries—especially its economic and political rivals, including China.
But Beijing retaliated with 34% tariffs on US goods in China.
On Monday, Trump threatened huge additional tariffs on imports from China if Beijing did not withdraw its retaliation plans, adding that Washington would begin talks with other countries that want negotiations.
“If China does not withdraw its 34 percent increase above their already long-term trading abuses by tomorrow, April 8th, 2025, the United States will impose an additional 50 percent, effective April 9th,” Trump said in a Truth Social post.
This means that some imported goods will now be 120% more expensive on their way to the US, according to analysts.
“If the US proceeds with implementing these escalated tariff measures, China will resolutely take countermeasures to safeguard its own rights and interests,” a spokesperson said on Tuesday. “If the US insists on going its own way, China will fight to the end.”
As part of a broader plan to impose “reciprocal” tariffs on countries with which the United States has large trade deficits, Trump last week unveiled a 34 percent additional tariff on China, taking effect Wednesday. Beijing’s counter-tariff matches Washington’s figure and is set to kick in on April 10. These will stack on existing Chinese duties too.
The world’s second biggest economy has also issued other countermeasures, including export controls on rare earth elements. Since returning to the presidency, Trump has imposed a 20 percent added duty on Chinese imports over Beijing’s alleged role in the fentanyl supply chain.
With the incoming 34 percent rate and new 50 percent threat, the total additional rate this year could hit 104 percent. The White House added that this new rate piles on existing tariffs from Trump’s first presidency, which former president Joe Biden largely kept in place and added to in targeted sectors.
European Union officials are taking a two-part approach to President Trump’s unfolding trade war, offering to slash tariffs on American-made cars and industrial products even as they prepare to retaliate imminently with wide-ranging levies.
Ursula von der Leyen, president of the E.U.’s executive branch, said on Monday that the 27-nation bloc would be willing to employ a “zero-for-zero” approach on products including cars, eliminating tariffs on the goods if the United States did the same. E.U. car tariffs are currently set at 10 percent.
But at the same time, both she and the E.U. trade commissioner, Maros Sefcovic, made it clear that European officials were preparing to deploy tariffs and, potentially, other trade barriers to hit back at the United States if the two sides could not reach a deal. Those tariffs are set to begin within days.
European Union officials circulated on Monday evening in Brussels a list of products that they plan to hit with retaliatory tariffs, said Olof Gill, trade spokesman for the European Commission, the bloc’s executive branch.
Representatives from across the bloc’s member states are expected to vote on that list on Wednesday. If approved, the fresh tariffs would take force in two waves — one on April 15, the second a month later.
The European Commission said it had offered a “zero-for-zero” tariff deal to avert a trade war with U.S. President Donald Trump as EU ministers agreed to prioritise negotiations, while striking back with 25% tariffs on some U.S. imports.
The 27-nation bloc faces 25% import tariffs on steel, aluminum, and cars and broader tariffs of 20% from Wednesday for almost all other goods under Trump’s policy to hit countries he says impose high barriers to U.S. imports.
On Monday, the Commission proposed its first retaliatory tariffs at 25% on a range of U.S. imports in response to Trump’s steel and aluminum tariffs rather than the broader levies.
However, the list was shortened after the EU executive bowed to pressure from member states and removed bourbon, wine, and dairy after Trump threatened a 200% counter-tariff on EU alcoholic drinks. France and Italy, major exporters of wine and spirits, were particularly concerned.
EU trade chief Maros Sefcovic said earlier the retaliation would impact less than the previously announced 26 billion euros, or $28.4 billion. The tariffs for most of the goods will go into effect May 16, and some from December 1. #African Countries Keep Cool as China, EU Respond to U.S Tariffs FCMB, UCAP Drive Intraday Gain in Nigerian Equities Market
