Goods imported from China will now face a combined total tariff rate of 54%, Treasury Secretary Scott Bessent said Wednesday.

Bessent confirmed on Bloomberg Television that all goods imported from China would face a new 34% rate based on White House calculations of what it currently imposes on U.S. exports, plus the existing 20% rate Trump had already imposed against it in the initial weeks of his administration.

Bessent added that while there may be room for discussions with Trump about that rate, he would most likely stand pat for now.

“It’s going to be up to President Trump to see what he wants to do. I think the mindset might be to let things settle for a while,” Bessent said, adding: “I am sure there are going to be a lot of calls. I just don’t know if there’s going to be negotiations.”

The United States imports nearly $500 billion worth of goods from China every year, making it the third-largest source of foreign goods. Big-box retailers rely heavily on China for low-cost sourcing — and their stocks fell in after-hours trading Wednesday.

Target was down as much as 5.5%, while Walmart was off 4.7%.

Chinese authorities had not yet responded to Trump’s remarks late Wednesday. A spokesperson for the country’s U.S. Embassy did not immediately respond to a request for comment.

Markets and trading partners alike have reacted severely to Trump’s tariffs plan, which seeks to disrupt long-standing global trading arrangements. The prime minister of Australia, which has extensive trade with China, said the new duties, which would take effect next week, will harm not just long-standing partners but also U.S. families.

“The administration’s tariffs have no basis in logic, and they go against the basis of our two nations’ partnership. This is not the act of a friend,” Prime Minister Anthony Albanese said at a news conference Thursday morning in Melbourne, according to Bloomberg News. “Today’s decision will add to uncertainty in the global economy, and it will push up costs for American households.”