China vows to ‘fight to the end’ as tariff war with U.S. rages, Pg 1

Key Highlights

China’s Strong Retaliation

• China vowed to not succumb to U.S. “blackmail” and said it would “fight to the end”.

• Comes after Trump threatened tariffs >100% on all Chinese imports.

Escalating Trade Tensions

• U.S. accused China of failing to match its reciprocal duties.

• China’s counter-tariffs affected dozens of countries, triggering global market panic.

Economic Fallout

• Markets saw steep losses (Hang Seng: –13%) but minor recovery seen later.

• U.S. stock futures and Japan’s Nikkei recovered marginally after global sell-off.

Trump’s Protectionist Push

• Trump defended tariffs (10–50%) as essential to revive U.S. industry.

• Said only he would “reset the table” in global trade dynamics.

Analysis & Way Forward

• The trade war risks a global recession and supply chain disruption.

• Countries like India must hedge their trade exposure and focus on bilateral diversification.

Mains Mock Question:

"The U.S.-China trade war reveals the fragility of global trade systems. Analyze its potential impact on emerging economies like India."