The tariff war is a hot topic worldwide, especially after Trump imposed tariffs on Canada, Mexico, and China. However, China is expected to suffer the most from this decision, as it is known as the global manufacturing hub. Now, all Chinese imports into the U.S. will face a 20% tariff. Previously, the U.S. had already imposed a 100% tariff on Chinese electric vehicles and up to 15% on clothing and footwear. Since China exports goods like electric cars, solar panels, clothing, and toys worldwide, these tariffs directly hit its manufacturing industry. Today, we analyze how much damage China will face and whether it can recover from these losses.
