US President Donald Trump threatened to impose an additional 50% tariff on Chinese imports, which has been confirmed by the White House and officially took effect at 12:01 AM Eastern Time on Wednesday (12:01 PM Beijing Time), bringing the overall tariff rate on China to an astonishing 104%.

During this term, Trump, under the guise of imposing tariffs on Canada and Mexico, imposed tariffs on China twice, bringing US tariffs on China to 20%.

This time, under the guise of taxing the whole world, an additional 34% was added.

In the context of the world conceding, China retaliated in kind, resulting in an additional 50%.

Every time Trump imposes tariffs, no matter who the initial target is, it's always China that bears the brunt!

After such manipulations, the cumulative tariff rate imposed by the United States on China has reached 104%...

In the short term, China's electronic products are the most affected, as China's main exports to the US are various industrial products.

Although on the surface, the United States only ranks third in China's foreign exports:

But considering that a lot of China's exports to ASEAN are transshipment trade, it means that these exports may undergo secondary processing in Southeast Asia, or be sold to the United States without processing.

After the US also imposed tariffs on Vietnam and other transshipment trade hubs, this part of the revenue will also be affected.

As a result, the offshore RMB exchange rate has already started to react, breaking the 7.4 barrier against the US dollar.

If such a high tariff level is maintained for a long time, it may further affect the prices of meat in China.

China is the world's largest importer of soybeans, which are mainly used for producing animal feed (such as soybean meal).

Before 2016, the United States was the main source country for China's soybean imports, accounting for more than 40%.

Because of the lessons learned from Trump's first term, China currently imports 70% of its soybeans from Brazil, while only about 20% are imported from the United States.

But even this 20% soybean import quota is the most that the US exports to China; currently, China really has no dependency on US goods.


The real impact on China is the more than $300 billion surplus contributed by the United States.

The surplus of over 200 billion in Hong Kong should also have a considerable portion contributed by the United States.

China needs to spend $150 billion each year on imported food, while countries like Brazil and Argentina, despite having currency swap agreements with China, have only a total scale of over 300 billion RMB accumulated over many years.

Therefore, imported food still mainly requires the consumption of US dollars.

If an ordinary family's annual income decreases by one-third, it would surely hurt a lot!

Affected by this news, cryptocurrency prices have begun to drop again.

For everyone in our crypto industry, please hold on to the U in your hands.

When the uncertainty of the future is great, the certainty of the exchange rate is often also significant.