Earlier, US President Donald Trump said that his country does not need China and promised to respond to Beijing’s additional 25 per cent and 5 per cent tariffs on cars and car components from the US.
The Dow Jones fell by 500 points on Friday following President Trump’s tweets concerning China’s move to impose new tariffs on US goods.
Earlier, China announced additional 10 percent and 5 percent tariffs on $75 billion worth of imported US goods, including soybeans, wheat, corn, beef, pork and crude oil.
The trade war between the US and China started in the spring of 2018 when Donald Trump first announced tariffs on $50 billion worth of Chinese imports to stop what he described as ‘unfair trade practices’. Since then the two countries have announced a series of retaliatory tariffs.
Tensions worsened when the US blacklisted China’s tech giant Huawei, accusing the company of spying on users worldwide. Beijing strongly denied the claims.