China Ups Retaliatory Tariffs to 84%, Shaking Global Markets Yet Again

China just fired another salvo in its ongoing trade standoff with the United States, raising its retaliatory tariff on American goods to 84%. The move is a direct counterpunch to President Donald Trump’s new 104% levy on Chinese imports, which went into effect only hours earlier. In a swift response, Beijing filed an additional complaint with the World Trade Organization, even as it hinted at possible new restrictions for U.S. firms operating within its borders.

Financial markets worldwide didn’t take kindly to the news. From Frankfurt to Tokyo, shares went into a tailspin for the third time in less than a week. Investors bailed out of riskier assets—sending oil prices tumbling by over five percent—and renewed their rush toward safe havens like precious metals. While the S&P 500 inched between gains and losses, the Dow dropped another 170 points, reflecting mounting jitters over a potential global slowdown if these tit-for-tat duties escalate further.

Analysts warn this back-and-forth is souring sentiment at a delicate moment for the global economy, which was just recovering momentum after years of pandemic-related disruption. China’s officials have vowed to keep fighting “to the end,” while Trump insists the U.S. must stand its ground. With no sign of compromise and both sides threatening bigger reprisals, businesses around the world remain on tenterhooks, unsure how much longer they can ride out this trade-war storm.