Tariff Battle Ignites UNREST!

A sweeping wave of worker protests in China reveals the domestic toll of Trump’s aggressive trade war, as factories shutter and millions face unemployment

At a Glance

U.S. levies 145% tariffs on Chinese goods, crippling exports

Protests erupt across China over factory closures and unpaid wages

Chinese export orders hit lowest levels since the COVID lockdowns

Goldman Sachs projects up to 16 million job losses in China

Beijing retaliates with 125% tariffs but quietly lifts others

Tariffs Trigger Industrial Chaos

In China’s core manufacturing hubs, a wave of labor unrest has erupted amid the latest escalation in the U.S.-China trade war. A 145% tariff on Chinese imports, ordered by President Donald Trump, has rocked the country’s export economy. Once-busy industrial zones in Sichuan, Hunan, and Inner Mongolia are now home to mass protests, as factories lay off workers or shut down altogether, according to MSN.

Watch Economic Times’ report on the incident at China Sees Surge in Worker Protests Over Unpaid Wages,Factory Closures and U.S. Tariffs.

Export orders have dropped to their lowest since the early days of the pandemic, with Goldman Sachs warning of potential job losses affecting as many as 16 million people. In Tongliao, Inner Mongolia, construction workers recently threatened drastic action after weeks without pay, highlighting the human cost of geopolitical brinkmanship.

Beijing’s Retaliation Escalates Standoff

In a countermove, Beijing imposed 125% retaliatory tariffs on American goods. While it quietly lifted $40 billion in duties on certain U.S. imports—possibly to ease pressure on its own consumers—the broader posture remains confrontational. Trump has stood firm, declaring, “They were ripping us off like nobody’s ever ripped us off. They’re not doing that anymore,” as reported by Newsmax.

State advisers warn that Xi Jinping is unlikely to tolerate widespread unrest. “Xi today has the same mentality as Mao. His bottom line is that no major crisis will be allowed to endanger his hold on power,” one adviser told AOL. This mirrors the regime’s hardline stance during the COVID lockdown protests, raising fears of another crackdown.

Fallout Reaches Global Markets

While Chinese factories cut costs, slash wages, and join price wars to survive, U.S. firms are also feeling the strain. Companies like Mattel are accelerating efforts to shift production away from China to avoid tariff impacts. Meanwhile, workers across the Pacific find themselves caught in the economic crossfire.
The long-term consequences of this economic standoff remain uncertain, but the present toll is clear: unrest, unemployment, and growing instability in the world’s second-largest economy. Without a negotiated truce, both nations risk deepening an already volatile trade conflict with no clear exit.