Trade tensions rise as China rejects US tariffs and prepares to retaliate

BEIJING: China has strongly rejected a fresh US threat to impose higher tariffs on its goods, calling the move a serious mistake and warning that it will respond with firm countermeasures as trade tensions between the two sides continue to escalate.

Beijing's strong response comes as US President Donald Trump threatened fresh levies of 50 percent on imports from the world’s second-largest economy.

“The US threat to escalate tariffs against China is a mistake on top of a mistake, which once again exposes the US’s blackmailing nature,” a ministry spokesperson said.

“China will never accept this,” they added.

“If the US insists on going its own way, China will fight it to the end,” the spokesperson warned.

“If the US escalates its tariff measures, China will resolutely take countermeasures to safeguard its own rights and interests,” they stated.

Trump upended the world economy last week with sweeping tariffs that have raised fears of a global recession and triggered criticism even from within his own Republican Party.

As the trade war escalates, Beijing – Washington’s major economic rival – unveiled its own 34 percent duties on US goods, to come into effect on Thursday.

China’s commerce ministry also on Tuesday reiterated that it sought “dialogue” with the United States, and that there were “no winners in a trade war”.