If you’ve tried to buy a laptop, a set of tires, or even a bag of frozen shrimp lately, you’ve probably noticed the price tags are doing something weird. It's not just "inflation" in that vague, hand-wavy sense we’ve all grown used to. Honestly, it’s about the trade war that went from a simmer to a full-on boil in 2025. People keep asking, what was china's tariff last year, and the answer is a total rollercoaster.
We didn't just have one tariff. We had a pile-on. By the middle of 2025, the trade relationship between Washington and Beijing looked less like a partnership and more like a high-stakes game of chicken where both drivers decided to floor it at the same time.
The Chaos of the 2025 "Liberation Day" Tariffs
Early last year, the trade landscape shifted under our feet. On February 4, 2025, the U.S. slapped a 10% "fentanyl-related" tariff on basically every single thing coming out of China. A month later? Another 10% got tacked on. You’d think that was plenty, but then came April 2, 2025—a day the administration dubbed "Liberation Day."
That's when the "reciprocal tariffs" hit.
President Trump announced a 34% tariff on Chinese goods, arguing that if China charges us, we charge them back. But because these new taxes were stacked on top of the ones already there, the math got scary fast. By April 9, after a few rounds of "you hit me, I hit you back," the total U.S. tariff on Chinese imports spiked to a staggering 125% for a hot minute.
China didn't just sit there. They punched back with 34% tariffs of their own on April 4, targeting U.S. soybeans, pork, and crude oil. By the time the dust settled in mid-April, they had hiked that to 125% on American goods too. It was a mess. Every ship in the Pacific was essentially carrying a giant, expensive question mark.
Why the Numbers Keep Changing
If you're confused, you're in good company. Even the pros at the Peterson Institute for International Economics were scrambling to keep up with the daily updates. One day a tariff was 74%, the next it was 125%, and then suddenly, in May, everything dropped back down to a 30% baseline after some frantic meetings in Geneva.
Basically, 2025 was the year of the "Executive Order trade policy."
The De Minimis Loophole Slammed Shut
One of the biggest changes—and one that actually affects your Amazon or Temu habit—was the death of the "de minimis" loophole. Previously, if you bought something under $800, it came in duty-free. In May 2025, the U.S. essentially killed that for China. Now, those small packages face a flat 30% tariff because the government decided it was too hard to check the "real" value of millions of tiny boxes every day.
- February 2025: 10% baseline added.
- April 2025: The 34% "Reciprocal" jump.
- April 11, 2025: Peak madness at 125-145% total.
- November 2025: The "Great De-escalation" to roughly 10-30% for most goods.
The November Breakthrough: Is the War Over?
Kinda, but not really. On November 1, 2025, a massive deal was struck in Seoul between President Trump and President Xi. This is the "current" reality we're living in now in early 2026.
China agreed to stop messing with our semiconductor companies and promised to buy a massive amount of soybeans—12 million metric tons just in the last two months of last year. In exchange, the U.S. cut that 20% "fentanyl" tax down to 10% and suspended those crazy high reciprocal tariffs until at least November 2026.
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What about Electric Vehicles?
While the U.S. was fighting about fentanyl and soybeans, the EU was doing its own thing. They had tariffs as high as 35.3% on Chinese EVs like BYD and SAIC. However, just a few days ago in January 2026, they basically swapped those tariffs for a "minimum price" deal. This means Chinese carmakers can't sell their cars for dirt cheap in Europe, but they don't have to pay the massive tax as long as they keep their prices up.
Actionable Insights for 2026
If you're running a business or just trying to manage your household budget, here is what you actually need to do with this information:
1. Watch the November 10, 2026 Deadline
The current "peace" is a one-year truce. The suspension of the 34% reciprocal tariffs expires in November. If trade talks sour over the next few months, expect those 125% numbers to come roaring back. Stock up on essential electronics or components before the fall.
2. Audit Your Supply Chain for "Section 232" Goods
Even though the China-specific war cooled off, new tariffs on high-performance semiconductors and heavy-duty trucks kicked in on January 1, 2026. If you're importing AI chips or industrial equipment, check the new 25% duties under Section 232.
3. Factor in the "Small Package" Tax
If you source inventory via small individual shipments to avoid duties, those days are over. The 30% flat tax on postal shipments from China is now standard operating procedure. You’ll likely find better margins by consolidating shipments into formal entries, even with the paperwork headache.
4. Monitor the "Melt and Pour" Rules
Customs is getting aggressive. If you're importing anything with steel or aluminum, you now have to prove where the metal was "melted and poured." If it’s Chinese steel processed in a third country, you’re likely still going to get hit with a 25% tariff.
The trade war isn't a single event; it's a permanent feature of the economy now. China's tariff last year was a chaotic peak that nearly broke global shipping, but the "deal" we have now is just a fragile ceiling. Stay nimble, because as we saw last April, everything can change with a single phone call.