Nike Stock Tumbles As US-China Trade War Intensifies: What You Need To Know

Nike Inc NKE shares are tumbling on Thursday amid rising trade tensions between the United States and China.

What To Know: Nike shares are down about 25% over the past month as Trump administration tariffs threaten the company's supply chain. Nike imports most of its products from China, Vietnam, and Indonesia.

President Donald Trump announced sweeping reciprocal tariffs on numerous nations last week. The Trump administration slapped 46% reciprocal tariffs on Vietnam, 34% tariffs on China and 32% tariffs on Indonesia.

Trump has since announced a 90-day pause on tariffs for a majority of countries, but the ongoing trade war with China has intensified in recent days.

CNBC said Thursday morning on “Money Movers” that a White House official confirmed that the total tariff rate against China has grown to 145% as the trade war between the world’s two largest economies continues to escalate.

Related Link: Kevin O’Leary Calls For Hefty 400% US Tariffs On China: ‘They Don’t Play By The Rules’

China’s commerce ministry reportedly said Thursday that it’s open to discussions with the U.S. on the basis of mutual respect but will continue to push back against tariffs if the U.S. continues down the path it’s currently on, per Reuters.

The report indicates that China commerce ministry spokesperson He Yongqian said threats and blackmail attempts from the U.S. are not the right way to try to make a deal with China. He reportedly said China will “follow through to the end” if the U.S. does not change its course.

Nike shares rallied alongside the broader market on Wednesday after Trump announced a 90-day pause on tariffs. The stock is giving back its gains on Thursday.

Stifel analyst Jim Duffy maintained Nike with a Hold rating on Thursday and lowered the price target from $75 to $64.

NKE Price Action: Nike shares were down 10.3% at $53.18 at the time of publication Thursday, according to Benzinga Pro.

Photo: Shutterstock.