US Tariffs Seen as Far Worse Shock to China Than First Trade War

Donald Trump’s latest tariff hikes threaten to inflict a bigger hit on China’s economy than it suffered during his first trade war.

The 54% US tariffs on China’s goods announced since the start of Trump’s second presidential term may drag the country’s gross domestic product growth down by 2.4 percentage points in 2025, according to Citigroup Inc., an assessment it says was made before considering any offsetting measures.

Economists at Goldman Sachs Group Inc., BNP Paribas SA, Societe Generale SA, Oversea-Chinese Banking Corp and ING Bank forecast a hit of 1 to 2 percentage points. Last month, Beijing announced ...