China has reportedly told its airlines to halt the deliveries from Boeing Co, the US-based airline maker, amid the ongoing out-and-out tariff war with USA, as per a Bloomberg report. This comes after US President Trump has imposed a 145% tariff on Chinese goods.

China in retaliation to Trump’s reciprocal tariffs, had imposed a 125% tariff on US imports. According to reports, the tariffs may make it tough for Chinese airlines to operate with the higher costs of imported aircrafts and their parts.

Trump on April 10 announced a 90-day pause in reciprocal tariffs he announced on April 2 for trading partner countries that have not retaliated with higher levies on American goods — such as India — and further hiked the levy on China to 125% for hitting back. 

The pause and the additional tariff on China came after Beijing hit back to Trump’s second round of additional 50% hike — over the 34% announced earlier, which had taken the total levies to 104%. China retaliated with additional tariffs taking up its levy on imports from America to 84%.

“Based on the lack of respect that China has shown to the world’s markets, I am hereby raising the Tariff charged to China by the United States of America to 125%, effective immediately,” President Trump wrote on Truth Social.

US markets have been in a turmoil since the reciprocal rates went into effect and calls had emerged from some key Wall Street influencers such as Bill Ackman for a 90-day pause.

Trump has also faced some push-back to the tariff from a key adviser, Elon Musk who has criticised them and engaged in a public spat with Peter Navarro, a key trade adviser to the President.

(with inputs from syndicated feed)