Trump vows no tariff pause as markets dive

US President Donald Trump on Monday threatened fresh tariffs of 50 percent on China and ruled out any pause in his aggressive new global trade policy, despite a dramatic market sell-off.

Trump upended the world economy last week with sweeping tariffs that have raised fears of an international recession and triggered criticism even from within his own Republican Party.

As the trade war escalates, Beijing — Washington’s major economic rival — unveiled its own 34 percent duties on US goods to come into effect on Thursday.

The US president chastised China for ignoring his warning that targeted countries should not to retaliate.

He said that if Beijing did not immediately back down the United States would impose additional 50 percent tariffs on China from Friday.

“I have great respect for China but they can not do this,” Trump said in the White House. “We are going to have one shot at this… I’ll tell you what, it is an honor to do it.”

With the incoming 34 percent rate and new 50 percent threat, the total extra tariffs on China this year could rise to 104 percent, the White House told AFP.

– China responds –

Beijing hit back, saying in a statement from its US embassy that “pressuring or threatening China is not a right way to engage.”

Stock markets and oil prices collapsed further, as trading floors across the world endured waves of selling after last week’s sharp losses.

Wall Street stocks finished lower following a volatile session, with both the Dow and S&P 500 ending down.