China will impose an additional 34 percent tariff on all US imports from 10 April, news agencies reported. The move comes in response to Donald Trump's decision on Wednesday to impose punitive tariffs on most countries in the world, with China facing one of the highest rates at 34 percent.
Beijing has also announced that it will seek redress at the World Trade Organisation - although the move is more symbolic.
According to Világgazdaság, the Chinese authorities are also launching an investigation into CT machines in the US and India and suspending poultry imports from two US companies.
The markets reacted immediately and negatively to the unfolding trade war, with US, European, and Asian stock markets falling.
China made clear on Thursday that it strongly opposes the US "reciprocal tariffs" and will take strong countermeasures to protect its rights and interests. "History shows that raising tariffs cannot solve the US problem, harms US interests and threatens global economic development and the stability of industrial and supply chains," they said. According to the Chinese statement, "the US move ignores the balance of interests achieved over the years in multilateral trade negotiations and the fact that it has long benefited greatly from international trade". They added that there is no winner in the trade war and that protectionism leads nowhere.
