Beijing issued a rare and stern warning to America, stating that it is prepared for “any type of war” following President Donald Trump’s announcement to raise tariffs on Chinese imports. This was shared on social media platform X by China’s Washington Embassy and was a direct quote from China’s Foreign Ministry:
“If what America wants is a war—whether a tariff war, a trade war, or any other type of war—we are willing to fight to the end.”
In response, U.S. Defense Secretary Pete Hegseth stood firm, telling Fox News that America was
“prepared” for any conflict. Those who long for peace must prepare for war,”
He stated, reinforcing Trump’s aggressive economic stance against China.
This bold declaration comes amid rising tensions between the world’s two largest economies. In the first few months of Trump’s second term, the U.S. doubled tariffs on Chinese goods to 20%. This has raised alarms about a prolonged economic battle that can rock the world’s markets and redefine international trading patterns.
The latest tariffs are only part of Trump’s overall approach to pressuring China for imbalances in trade and unfair trading. Initially setting a 10% tariff in February 2025, the White House raised the measures to 20% in early March. While short of the extreme 60% tariff promised in his campaign, the levels still reflect a sharp break from past trade policy.
The White House justified the tariffs about China’s alleged complicity in America’s fentanyl crisis, a stance dismissed in Beijing as a “pretext to impose tariffs.”
In retaliation, China has introduced a carefully calibrated sequence of countermeasures. Tariffs ranging from 10% to 15% will be imposed on strategic U.S. exports like soybeans, pork, wheat, chicken, and beef—sectors most significant to Trump’s political base. Beijing has imposed tariffs on American coal, liquefied gas, and crude oil, continuing to fuel the trade war.
China is also cracking down on U.S. companies operating in China. Several American companies, like clothing giant PVH Group, Calvin Klein and Tommy Hilfiger owner, and biotechnology company Illumina, have been placed on China’s “unreliable entities” list. This has the consequence of excluding them from trading with Chinese firms.
In addition, Beijing has launched an antitrust investigation against Google and introduced new export controls on rare earth minerals utilized in high-tech industries—demonstrating that the trade dispute is expanding to broader economic and technological fronts.
China’s assertive action comes at a politically opportune moment: its annual National People’s Congress (NPC). During this grand political event, Premier Li Qiang announced that China will increase its defense budget by 7.2% in 2025, following a pattern of military expansion.
In his speech, Li also warned that
“changes unseen in a century are unfolding at a faster pace,”
Reinforcing China’s sense that power is being transferred to the world. This timing, in addition to the continuing escalation in the trade war, is a sign that Beijing is preparing for a protracted battle with Washington.
China is keen to control the narrative. A Foreign Ministry spokesperson dismissed U.S. accusations over fentanyl as a pretext for economic coercion and stated:
“Intimidation will not intimidate us. Bullying will not work. Coercion and intimidation are not a proper solution to address China.”
But, unlike its fiery rhetoric, Beijing leaves a few doors open for potential negotiations. While its retaliations are significant, they are short of being as draconian as they could have been. Pundits think that China’s leadership is carefully balancing the need to appear tough to a domestic audience and the economic factors that a full-fledged trade war would strain a slowing economy.
China’s aggressive stance isn’t just about tariffs. The country has been flexing its military muscle across Asia and the Pacific. Recent naval exercises near Taiwan, Vietnam, and Australia have raised concerns among neighboring countries, with Japan, South Korea, and India openly criticizing Beijing’s assertiveness.
Reports have also surfaced that China is developing a nuclear-powered aircraft carrier to bring its navy closer to U.S. capabilities. While America still holds a significant lead in military spending—with an estimated $850 billion budget for 2025—China’s rapid expansion signals that it is preparing for a long-term geopolitical showdown.
The controversy is already having a ripple effect in overseas markets. Tariffs imposed on Chinese imports from America are set to rise to 33% from a 13% rate before Trump’s presidency.
This will lead to higher costs and reduced competitiveness for Chinese export firms in the U.S. market. It will also increase the costs of daily commodities from electronics to appliances for U.S. consumers and importers.
As economic storm clouds gathered, Asian stock markets initially rebounded from a temporary slump following Trump’s tariff announcement. Both sides are believed to be bluffing and will revert to negotiations rather than risk a full-fledged trade war.
However, experts warn that additional escalation can lead to more severe economic consequences, with slowing Chinese growth and a weakened U.S. economy already. Despite heightened tensions, analysts indicate that Trump and Chinese President Xi Jinping are keeping their doors open for future negotiations.
Trump’s decision to impose a 20% tariff rather than the extreme 60% he initially threatened leaves him with space for diplomatic negotiation. Similarly, China’s relatively restrained retaliation is still open to a deal.
Early signs of optimism were seen when Trump invited Xi to his inauguration, and there was a “great phone call,” in Trump’s words. Since then, however, negotiations have stalled, and both have taken a more confrontational stance.
Chinese officials have urged America to
“reverse its aggressive stance and return to a negotiation course.”
Whether or not to do so is doubtful as hardliners in both camps push for a more aggressive course.
The economic competition between America and China is not a two-way issue—it has international implications.
The conflict poses challenging choices for countries with extensive economic dealings with both giants. Nations such as Mexico, Canada, and Germany, with intimate economic ties with America and China, may have their supplies cut off and their commodity prices raised.
At the same time, however, China is attempting to use Trump’s aggressive stance on trade to its advantage. By emphasizing America’s imposing tariffs on China and China’s friends, Beijing is attempting to position Washington as a capricious trading partner, potentially drawing other nations closer to China.
China’s warning to prepare for “any type of war” with America is undoubtedly a hyperbolic move. However, measures taken so far show that both sides are still playing a game of brinkmanship with high stakes, not in a full-fledged trade war.
While Trump’s tariffs and Chinese retaliations already have economic ripple effects, neither country can afford to see tensions spiral out of control for much longer. In the months to come, we will see whether Washington and Beijing are indeed heading for an economic confrontation—or whether this is simply a new chapter in their political game of chess.
For now, the world watches and waits.
