China has issued a strong response after US President Donald Trump threatened to impose an additional 50% tariff on Chinese goods unless Beijing withdraws its latest retaliatory duties.
In a statement on Tuesday, China’s Commerce Ministry said it would never accept what it called the “blackmail nature of the US” and pledged to “fight till the end” in what is shaping up to be a deepening trade dispute between the world’s two largest economies.
Analysts warn that the escalating tension significantly increases the chances of a full-blown trade war, with potentially far-reaching consequences for global trade and economic stability.
The proposed US tariffs could see some American firms facing a staggering 104% tax on certain imports from China, adding pressure on industries heavily reliant on Chinese manufacturing.
Despite the tensions, most Asian markets opened higher on Tuesday. However, Taiwan continued to slide, falling another 4%. In Europe, markets remained under pressure, with major indices including London’s FTSE 100 closing more than 4% lower on Monday. (NewsWire)