Donald Trump has threatened to hit a further $200bn (£151bn) worth of Chinese goods with tariffs after China retaliated with reciprocal tariffs.
The US president announced he was mulling a 10 per cent tariff on $200bn worth of goods to follow on from his initial 25 per cent tariff of $50bn worth of goods.
The next round of punitive measures come after Beijing repeated that it would respond robustly to Trump's policy. Immediately after Trump unveiled the first round of tariffs last Friday, China revealed it was also imposing tariffs on $50bn worth of US goods, including soybeans.
“After the legal process is complete, these tariffs will go into effect if China refuses to change its practices, and also if it insists on going forward with the new tariffs that it has recently announced,” Trump said in a statement yesterday.
Trump has long threatened to impose tariffs on Chinese as part of his protectionist policies and to halt the ascendancy of what he considers to be America's greatest economic rival.
The US has said the punitive measures have been designed to combat what it says is theft of its intellectual property. It says it wants to stop the transfer of US products and designs over to Chinese companies.