China to impose tariffs of 34% on all US goods from April 10

China on Friday announced a slew of additional tariffs and restrictions against U.S. goods as a countermeasure to sweeping tariffs imposed by U.S. President Donald Trump.

The Finance Ministry said it would impose additional tariffs of 34% on all U.S. goods from April 10.

Beijing also announced controls on exports of medium and heavy rare-earths, including samarium, gadolinium, terbium, dysprosium, lutetium, scandium and yttrium to the United States, effective April 4.

“The purpose of the Chinese government’s implementation of export controls on relevant items in accordance with the law is to better safeguard national security and interests, and to fulfill international obligations such as non-proliferation,” the Commerce Ministry said in a statement.

It also added 11 entities to the “unreliable entity” list, which allows Beijing to take punitive actions against foreign entities.

Countries around the world threatened to ratchet up a trade war with the United States as President Donald Trump’s sweeping tariffs ignited fears of steep price increases in the world’s largest consumer market.

The penalties announced by Trump on Wednesday triggered a plunge in world financial markets on Thursday and drew condemnation from other leaders reckoning with the end of a decades-long era of trade liberalization.

But there were conflicting messages from the White House about whether the tariffs were meant to be permanent or were a tactic to win concessions, with Trump saying they “give us great power to negotiate.”

Trump tariffs provoke world condemnation, fears of a $2,300 iPhone

The U.S. tariffs would amount to the highest trade barriers in more than a century: a 10% baseline tariff on all imports and higher targeted duties on some of the country’s biggest trading partners.

That could jack up the price for U.S. shoppers of everything from cannabis to running shoes to Apple’s iPhone. A high-end iPhone could cost nearly $2,300 if Apple passes the costs on to consumers, based on projections from Rosenblatt Securities.

Businesses raced to adjust. Automaker Stellantis said it would temporarily lay off U.S. workers and close plants in Canada and Mexico, while General Motors said it would increase U.S. production.

Canadian Prime Minister Mark Carney said the United States had abandoned its historic role as a champion of international economic cooperation.

“The global economy is fundamentally different today than it was yesterday,” he said as he announced a limited set of countermeasures.