China announced countermeasures on Friday, raising tariffs on U.S. goods from 84% to 125% starting Saturday. The U.S. and China have escalated trade war by raising tariffs even as U.S. President Donald Trump hit a pause on tariffs for other countries.

The fast-worsening trade war between the United States and China — the planet’s premier geopolitical powers, whose economies are intricately entwined — threatens to wreak severe damage on both nations and will send shockwaves worldwide.

Beijing on Friday increased its tariffs on U.S. imports to 125%, hitting back against President Donald Trump's decision to hike duties on Chinese goods to 145%.

China hiked its levies on imports of U.S. goods to 125% on Friday, hitting back at Donald Trump's decision to single out the world's No.2 economy for higher duties, while dismissing the U.S. president's tariff strategy as "a joke.

China on Friday said U.S. chip firms outsourcing manufacturing would be exempt from the country's tariffs on U.S. goods.

Global tariff battle escalates as China retaliates with 125% tariffs on US goods - China has announced that it will raise tariffs on U.S. goods from 84% to 125%

President Trump has made a series of claims about how the US faces "unfair trade" as he justifies his sweeping tariffs on imports from other countries.

President Donald Trump’s rapid-fire trade war has set in motion a commercial rupture without precedent, which is rippling through the global economy in unpredictable and costly ways. The triple-digit taxes that the president has imposed on Chinese products — and China’s retaliatory measures — are expected to shrink trade between the world’s two largest economies from a recent annual peak of nearly $700 billion to almost nothing.