Speaking at a press briefing, White House Press Secretary Karoline Leavitt said the move was in response to Beijing’s failure to meet President Trump's deadline to back off retaliatory tariffs.

On April 4, China said it would impose an additional 34% tariff on all US imports. In retaliation, President Trump announced on April 7 that he would raise tariffs on Chinese imports by 50%, effective April 9, unless China backs off its measures by April 8.

In related developments, major Chinese enterprises and financial institutions have announced efforts to stabilize domestic markets. The People’s Bank of China affirmed support for the Central Huijin State Investment Fund’s actions to bolster the stock market.

The National Financial Regulatory Administration announced to raise limits for insurance funds' investment in the stock market, as part of action taken to increase support for capital markets and the real economy. It will raise the upper limit of the equity asset allocation ratio of some insurers by about 5%.

Meanwhile, the European Union is preparing its own tariff response. The EU plans to impose tariffs of up to 25% on US goods in retaliation for American duties on metals. Affected products include soybeans, poultry, rice, sweet corn, fruits, nuts, wood, motorcycles, plastics, textiles, paintings, electronics, and cosmetics. EU member states are set to vote on the measure April 9. If approved, most tariffs will take effect in mid-May, while others, like those on almonds, will begin in December.