The move fuels fear that the dispute between the U.S. and China will chill global trade and economic growth.
The Trump administration is readying tariffs on another round of Chinese imports, ranging from burglar alarms to mackerel, escalating a trade war between the world's two biggest economies.
Donald Trump proposes new tariffs on $200 billion in Chinese imports as the two nations move closer to a trade war.
After the president announces a 25 percent tariff on up to $50 billion in Chinese imports, set to take effect July 6, Beijing's commerce ministry says it will retaliate with penalties of the same scale on American goods.
The treasury secretary says the world's two biggest economies are making progress in talks aimed at reducing America's massive trade deficit with China.
The move is in retaliation against taxes approved by President Trump on imported steel and aluminum.
The prospect of a full-blown trade war with China hammers U.S. stocks; markets in Germany, Britain, France, Hong Kong, Japan and South Korea all lose ground.
The Dow Jones industrial average drops 724.42 points (2.9 percent) on investor worries that trade tensions between the U.S. and China will escalate. Planned sanctions include tariffs on $48 billion worth of Chinese imports.