China is escalating its response to U.S. trade actions by implementing non-tariff measures targeting specific American companies and sectors. These actions signal a broadening of the economic conflict beyond tariffs.
On April 4, 2025, China's Ministry of Commerce imposed export restrictions on seven rare earth elements and magnets vital to defense, energy, and automotive sectors, requiring special export licenses. This followed U.S. President Trump's tariff increases on Chinese products. Furthermore, antitrust probes have been initiated against companies like DuPont, with investigations into DuPont China for suspected monopolistic practices.
Adding to the pressure, Chinese airlines have reportedly been ordered to halt further deliveries of Boeing jets and cease purchases of related equipment. These measures, combined with restrictions on critical minerals and encouragement for domestic users to replace American technology, suggest a move towards economic decoupling. The U.S. has responded by slapping tariffs of up to 245% on Chinese goods.