China censures Trump tariff 'blackmail' as market turmoil eases
Business
The rebuke came after Trump said he would impose an additional 50% duty on US imports from China
BEIJING/WASHINGTON (Reuters) - China vowed not to bow to "blackmail" from the United States as a global trade war ignited by U.S. President Donald Trump's sweeping tariffs showed little sign of abating on Tuesday even as battered stock markets steadied.
The rebuke came after Trump said he would impose an additional 50% duty on U.S. imports from the world's No.2 economy on Wednesday in response to Beijing's decision to match the 34% 'reciprocal' duties Trump initially unveiled last week.
"The U.S. side's threat to escalate tariffs against China is a mistake on top of a mistake, once again exposing the American side's blackmailing nature," China's commerce ministry said.
"If the U.S. insists on having its way, China will fight to the end."
The European Union proposed counter-tariffs of its own to Trump's tariff onslaught that swept up dozens of countries, sent financial markets into a tailspin and fuelled expectations that the global economy may be headed for recession.
Stock markets appeared to find a firmer footing after a gut-wrenching few days for investors which prompted some business leaders, including those close to Trump, to urge the president to reverse course.
Japan's Nikkei index rose 6% on Tuesday, rebounding from a 1-1/2-year low hit in the previous session, after Trump and Japan Prime Minister Shigeru Ishiba agreed to open trade talks in a phone call late Monday.
Chinese blue-chips (.CSI000300) climbed 0.7%, recouping a fraction of the more than 7% slide on Monday.
Hong Kong's Hang Seng Index (.HIS) jumped 2% after suffering the worst day since 1997 as a result of what the trading hub's leader called "ruthless" tariffs.
U.S. stock futures also pointed higher after slumping to the lowest level in more than a year.
Indonesian markets were slammed, however, with stocks shedding 9% and the rupiah currency ploughing a record low as trading resumed on Tuesday after an extended holiday.
Trump said the tariffs - a minimum of 10% for all U.S. imports, with targeted rates of up to 50% - would help the United States recapture an industrial base that he says has withered over decades of trade liberalization.
"It's the only chance our country will have to reset the table. Because no other president would be willing to do what I'm doing, or to even go through it," he told reporters at the White House.
A table showing sectors of imported products and the corresponding estimated price increases that could result from Trump's sweeping tariffs, ranging from 10% for medical diagnostic equipment to 30% for computer parts and toys & video games.
A table showing sectors of imported products and the corresponding estimated price increases that could result from Trump's sweeping tariffs, ranging from 10% for medical diagnostic equipment to 30% for computer parts and toys & video games.
