China tariff live updates: Trump blasts Beijing as 'PANICKED' while markets continue to drop

California Gov. Gavin Newsom is trying to convince countries that announce retaliatory tariffs to exempt products that are made in California from their levies.

Newsom said he’s “pursuing new strategic partnerships with international trading partners.” He also noted that his state has close trade ties with Mexico, Canada and China.

California has a massive economy. The Trade Partnership estimated earlier this week that the Golden State would be the hardest hit by Trump’s moves.

The Dow is now 1,400 points lower as the stock market sell-off picks up speed. The Nasdaq Composite is down 4.7%. If the index closes there, it will be 21% lower than its high in December — what Wall Street considers a bear market. Read all of CNBC’s market coverage here.

— Josephine Rozzelle

Walt Disney CEO Bob Iger said Trump’s global tariffs could force the media giant to slash spending, according to a report in the newsletter Status.

Iger made the assessment during an unannounced stop at a daily editorial meeting at Disney-owned ABC News, as journalists discussed the market plunge sparked by Trump’s trade barriers, Status reported. Iger said tariffs on steel imports could raise the cost of two Disney cruise ships currently under construction.

Iger said that if prices climb too high, Disney could have to cut spending, according to the report.

The account offers a rare private glimpse into a major CEO’s thinking about the escalating global trade conflict. Top executives have so far been hesitant to comment publicly on the turmoil.

— Jacob Pramuk

Fore!

Trump arrived at his golf club in West Palm Beach, Florida, as major stock indices dropped by more than 3 percent on the second day of market fallout over his wide-ranging tariff plan.

The president plans to attend a “candlelight dinner” later at his Mar-a-Lago Club.

Trump earlier in the day boasted about “far better than expected” job numbers that were released.

— Dan Mangan

With stocks plunging again Friday as worries of a global trade war intensify, Jim Cramer warned it’s not time to abandon stocks.

“Get out now moment? There should never be one,” Cramer wrote to his Investing Club on Friday morning. “Treasury yields say recession? Yes. But there are things that can help the economy, such as lower interest rates. The market now sees five Fed rate cuts this year.”

Another silver lining: U.S. oil prices have fallen to $61 a barrel. “Lower oil means lower gas prices, which can help bring inflation down,” Cramer said. “The Fed is torn between helping economic growth or taming inflation. The market now sees five cuts this year.”

Read the rest of Jim’s 10 things to watch in the stock market.

— Jeff Nash

Trump hit back at the Beijing administration following China’s decision to impose 34% retaliatory tariffs on all U.S. goods in the wake of Washington’s own sweeping levies.

“CHINA PLAYED IT WRONG, THEY PANICKED – THE ONE THING THEY CANNOT AFFORD TO DO!” Trump said on the Truth social media platform.

This is not the U.S. president’s first altercation with Beijing, after entertaining a tenuous trade relationship with China throughout his first term in the White House.

— Ruxandra Iordache

The Dow opened with a 900-point loss, getting crushed for a second day as fears about a global trade war heightened. Markets continued to sink in the first few minutes of trading. Read all of CNBC’s market coverage here.

— Elisabeth Cordova

Trump touted a better-than-expected March jobs report as proof of the strength of his agenda.

“GREAT JOB NUMBERS, FAR BETTER THAN EXPECTED. IT’S ALREADY WORKING. HANG TOUGH, WE CAN’T LOSE!!!” he wrote on Truth Social.

The latest nonfarm payrolls report from the Bureau of Labor Statistics covers the month ending mid-March — before Trump’s latest tariff announcements.

Press secretary Karoline Leavitt also celebrated the strong jobs numbers.

“The economy is starting to roar with a strong 228,000 jobs added in the month of March — well ahead of the market’s expectation,” she said in a statement.

“There was also a sharp increase in transportation, construction, and warehousing employment. The President’s push to onshore jobs here in the United States is working. The Golden Age of America is on its way!”

— Kevin Breuninger

The tariffs rolled out by President Donald Trump this week have pushed the odds of a recession this year up to 60% from 40%, according to JPMorgan.

“These policies, if sustained, would likely push the US and possibly global economy into recession this year,” Bruce Kasman, head of global economic research, said in a note to clients late Thursday.

Economic projections related to the tariffs will be something of a moving target in the coming weeks as more details emerge about both the U.S. plan and any reaction by trading partners. For example, Kasman’s note was published before China’s Finance Ministry announced that it would impose its own 34% tariff on U.S. imports in retaliation for the Trump administration’s decision.

— Jesse Pound

The toy aisle is about to get more expensive.

For decades, U.S. toy companies have worked with Chinese manufacturers to bring the hottest action figures, dolls and games to retail shelves. Vietnam became a solid secondary market for companies looking to diversify their factory locations amid growing trade tensions between Washington and Beijing.

Trump slapped China with an additional 34% duty Wednesday, bringing the total tax on goods from the nation to 54%, and hit Vietnam with a 46% tariff. The levy is far higher than what toy companies expected and could lead to massive price hikes on toys, industry experts said.

Around 77% of toys imported into the United States come from China, according to data from The Toy Association. Vietnam is third, just behind Mexico.

“You could have anywhere from 35% to potentially even a point-for-point price increase on products depending upon what margin those products run at,” Greg Ahearn, president and CEO of The Toy Association, told CNBC. “It may actually just be a 50% price increase, given it’s a 54% tariff.”

Most toy margins are in the high single digits, he noted. So, there is very little wiggle room for companies to absorb these fees.

“There’s no place for it to go, but to the consumer,” Ahearn said.

Read the full story here.

— Sarah Whitten

Trump shared a social media video that defends his recent policy decisions by arguing he is deliberately crashing the stock market as a strategic play to force lower interest and mortgage rates.

“Trump is crashing the stock market by 20% this month, but he’s doing it on purpose,” alleged the video, which Trump posted on his Truth Social account.

The president shared a link to an X post from the account @AmericaPapaBear — a self-described “Trumper to the end.” The X post itself appears to be a re-post of a weeks-old TikTok video from user @wnnsa11.

“Now here’s the secret game he’s playing, and it could make you rich,” the video says.

“So why is he doing this? To push cash into treasuries, which forces the Fed to slash interest rates in May, and those lower rates give the fed the ability to refinance trillions of debt very inexpensively,” it says.

“It also weakens the dollar and drops mortgage rates,” the video says. “Now it’s a wild chess move, but it’s working.”

“Now you’re probably wondering, What about his tariffs? Well, I’ll tell you, it’s a genius play. It actually forces companies to build here to dodge them. It also forces farmers to sell more of their products here in the U.S., to bring grocery prices way down.”

“Now, remember, 94% of all stocks are owned only by 8% of Americans. So Trump, he’s taking from the rich short term and handing it to the middle class through lower prices,” it says.

The White House did not immediately respond to CNBC’s request for comment.

— Kevin Breuninger

Trump in a Truth Social post encouraged more foreign spending in the U.S., assuring that investors can bet on his economic agenda long term.

“TO THE MANY INVESTORS COMING INTO THE UNITED STATES AND INVESTING MASSIVE AMOUNTS OF MONEY, MY POLICIES WILL NEVER CHANGE,” Trump wrote in the all-caps post.

“THIS IS A GREAT TIME TO GET RICH, RICHER THAN EVER BEFORE!!!”

— Kevin Breuninger

Auto giants have responded to Trump’s tariffs by announcing plans to raise prices, impose import fees, pause production and even layoff staff.

The White House on Thursday introduced 25% tariffs on foreign auto imports, noting that it also intends to place tariffs on some auto parts no later than May 3. The measures, which were separate to Trump’s sweeping new tariffs on major trading partners, have hit the global automotive industry hard.

German auto giant Volkswagen is said to be planning to add import fees to the sticker prices of its vehicles shipped to the U.S. in response to Trump’s tariffs. Europe’s biggest carmaker has also reportedly halted all rail shipments of vehicles built in Mexico to the U.S.

Stellantis, meanwhile, announced on Thursday it will pause production at two assembly plants in Canada and Mexico. The move means about 900 workers in the U.S. at supporting plants will be temporarily laid off.

Read the full story here.

— Sam Meredith

Oil prices plunged on Friday as China struck back with 34% tariffs on imported U.S. goods in response to Washington’s own duties against Beijing.

The Ice Brent contract with June expiry was trading at $65.42 per barrel at 8:22 ET, down 6.73% from the Thursday close price. The front-month May Nymex WTI contract was at $62.03 per barrel, lower by 7.35% from the previous session’s settlement.

Oil is particularly sensitive to tensions between the two economic powerhouses, given China’s status as the world’s largest crude importer and the U.S. dollar’s role in denominating crude commodities.

Read the latest oil commodity wrap.

— Ruxandra Iordache

Trump’s schedule for Friday is clear, save for attending a “Candlelight Dinner” for the super political action committee MAGA Inc., according to the White House.

The dinner is at Trump’s Palm Beach club and residence, Mar-a-Lago. Trump arrived there Thursday evening after catching another dinner for the LIV golf tour at his Doral Golf Club in Miami.

— Kevin Breuninger

Snap-on CEO Nick Pinchuk said Friday that the company is “resistant to the effect, not immune” to the tariffs.

The manufacturing company currently has 80% of its products made in America, he said.

“One of the good things about the tariffs, and I don’t think there’s many good things, is the fact that it puts in rather harsh perspective how hard it is to manufacture,” Pinchuk said on CNBC’s “Squawk Box.”

Pinchuk said the true problem lies in America not having the skilled labor and the weight of regulations.

“The government needs to celebrate manufacturing for the special American calling it’s always been, rather than say it’s a consolation prize,” he said.

Finding the best and cheapest goods can go too far, Pinchuk added, and Americans already understood that reshoring was good. Instead, he said, the tariffs will introduce uncertainty into the grassroots economy.

“I think this could’ve been implemented in a much more thoughtful way, and actually, we didn’t need broad tariffs,” he said.

— Laya Neelakandan

China’s finance ministry on Friday said it will impose a 34% tariff on all goods imported from the U.S.

The China tariffs take effect on April 10.

The move follows Trump’s tariff announcement on April 2, where he instituted a 10% baseline tariff on all countries and much higher rates on many. He put a 34% tariff on China, though combined with preexisting tariffs, the effective rate is 54%.

“China urges the United States to immediately cancel its unilateral tariff measures and resolve trade differences through consultation in an equal, respectful and mutually beneficial manner,” the ministry said, according to a Google translation.

Read CNBC’s full article here.

— Ruxandra Iordache

The weekend is looking like a breeze for Trump — if not for stock market investors hammered by the fallout from his new tariffs.

The White House posted a tweet showing Trump walking with his hair, tie and suit jacket blown back from the wind, with the italicized message, “Almost Friday.”

The tweet’s jaunty vibe contrasted with a metaphorical bloodbath on Wall Street, where the major stock indices all suffered big drops.

— Dan Mangan

Nissan Motor’s luxury Infiniti brand has indefinitely paused production of two Mexico-built crossovers for the U.S. in response to the newly imposed 25% tariffs on imported vehicles by Trump.

In a memo to the brand’s retailers, Infiniti Americas Vice President Tiago Castro said QX50 and QX55 output for the U.S. is halted “until further notice” due to the tariffs, Automotive News reported Thursday.

A company spokesman confirmed the actions Thursday afternoon to CNBC and said the Japanese automaker is reviewing its “production and supply chain operations to identify optimal solutions for efficiency and sustainability.”

“We will continue to evaluate the impact, as well as market needs, to make any additional adjustments to production,” Nissan said in an emailed statement.

Separately, Nissan on Thursday confirmed it will maintain two shifts of production of the Nissan Rogue crossover at its Smyrna, Tennessee, plant that is free of the new auto tariffs.

Nissan had planned to scale back Rogue production in Smyrna to a single shift starting this month.

— Michael Wayland