Explained: White House confirms up to 245% tariff on ‘the dragon’ — but is it on all Chinese goods?

The United States has confirmed a total tariff burden of up to 245% on certain Chinese imports — a sharp escalation in the intensifying trade war between the world’s two largest economies.A White House spokesperson told CNBC-TV18 that the 245% figure reflects the cumulative impact of several layers of tariffs, including reciprocal duties, fentanyl-related levies, and the existing Section 301 tariffs first imposed under Donald Trump’s presidency and continued under the Biden administration.

Sources have clarified that the 245% figure includes:

• A 145% reciprocal tariff, recently announced in response to China’s actions.
• Fentanyl-related tariffs, targeting the opioid crisis.
• Section 301 tariffs, which already ranged between 7.5% and 100% — with EVs and syringes among the hardest-hit items.

Effectively, Chinese electric vehicles and syringes — already subject to 100% tariffs — now face an additional 145% duty, bringing the total tariff load to 245%. However, not all Chinese imports are taxed at this rate — different categories continue to face varying tariff levels, depending on earlier slabs under Section 301 and other specific measures.ALSO READ | Explained | How Trump’s ‘up to 245%’ China tariffs affect different goods

This latest escalation comes after China ordered its airlines to

halt further deliveries of Boeing aircraft and suspended purchases of US-made aviation equipment and parts.

When asked about the 245% figure, China’s Foreign Ministry spokesperson Lin Jian said, “You can ask the US side for the specific tax rate figures,” according to Global Times.

China has warned it is prepared to “fight to the end” but has also reiterated the need for dialogue. Last week, it raised tariffs on US imports to 125%, calling the US strategy “a joke,” Reuters reported.

Meanwhile, Trump’s team has shown no signs of backing down. “The ball is in China’s court,” White House Press Secretary Karoline Leavitt said at a recent briefing. She added, “China needs to make a deal with us — we don’t have to make a deal with them.” Leavitt also said Trump had told her directly, “China wants what we have… the American consumer, or to put another way, they need our money.”

Amid the rising tensions, China’s economy grew by 5.4% in the first quarter of 2025, ahead of expectations, according to data from the National Bureau of Statistics. However, its economic outlook is clouded by the impact of US tariffs.

Bloomberg reported that Beijing has outlined preconditions for returning to trade talks — including more consistent messaging from the US, restraint from disparaging remarks by American officials, and the appointment of a credible US point person who has the president’s backing.

As tit-for-tat tariffs rise and rhetoric hardens, the global economy braces for further fallout from a deepening standoff that could reshape trade dynamics and supply chains well beyond just the US and China.