In a sharp retaliation against US President Donald Trump’s latest tariffs, China has announced new duties on American coal, liquefied natural gas (LNG), and other key imports. The move reignites tensions between the world’s two largest economies, with both sides ramping up economic pressure.

Beijing will impose a 15% tariff on US coal and LNG and 10% duties on oil and agricultural equipment, signaling a forceful countermeasure to Washington’s recent trade actions. The Chinese government has also launched an antitrust investigation into Google, alleging anti-competitive practices. Additionally, US companies PVH Corp. (owner of Calvin Klein) and Illumina Inc. have been added to China’s "unreliable entity" list, restricting their business activities in the country.

The tit-for-tat escalation comes after Trump imposed a 10% blanket tariff on Chinese goods over the weekend, citing Beijing’s alleged failure to curb illegal drug exports to the US. His executive order includes provisions for further tariff hikes if China retaliates.

Markets reacted swiftly to the renewed trade war fears. The offshore Chinese yuan fell 0.3% to 7.3340 per dollar, while Australian and New Zealand dollars dropped 0.8%, reflecting concerns over broader economic fallout.

This latest confrontation threatens global trade stability, as both nations have taken increasingly aggressive stances on tariffs, export controls, and restrictions on key industries. China has also expanded its export controls on tungsten-related materials, further tightening its grip on critical resources.

With Beijing and Washington locked in yet another trade battle, economists warn of further market volatility and disruptions to global supply chains, especially in energy, technology, and manufacturing sectors.

In a sharp retaliation against US President Donald Trump’s latest tariffs, China has announced new duties on American coal, liquefied natural gas (LNG), and other key imports. The move reignites tensions between the world’s two largest economies, with both sides ramping up economic pressure.

Beijing will impose a 15% tariff on US coal and LNG and 10% duties on oil and agricultural equipment, signaling a forceful countermeasure to Washington’s recent trade actions. The Chinese government has also launched an antitrust investigation into Google, alleging anti-competitive practices. Additionally, US companies PVH Corp. (owner of Calvin Klein) and Illumina Inc. have been added to China’s "unreliable entity" list, restricting their business activities in the country.

The tit-for-tat escalation comes after Trump imposed a 10% blanket tariff on Chinese goods over the weekend, citing Beijing’s alleged failure to curb illegal drug exports to the US. His executive order includes provisions for further tariff hikes if China retaliates.

Markets reacted swiftly to the renewed trade war fears. The offshore Chinese yuan fell 0.3% to 7.3340 per dollar, while Australian and New Zealand dollars dropped 0.8%, reflecting concerns over broader economic fallout.

This latest confrontation threatens global trade stability, as both nations have taken increasingly aggressive stances on tariffs, export controls, and restrictions on key industries. China has also expanded its export controls on tungsten-related materials, further tightening its grip on critical resources.

With Beijing and Washington locked in yet another trade battle, economists warn of further market volatility and disruptions to global supply chains, especially in energy, technology, and manufacturing sectors.