"The Chinese side is shocked by the actions of the USA", it said in a statement, according to a translation by Google. Accordingly, the Trade Representative is proposing to modify the action in this investigation by maintaining the original $34 billion action and the proposed $16 billion action, and by taking a further, supplemental action"-the additional 10% ad valorem on $200 billion worth of Chinese goods now proposed". The list amounts to $200 billion in products in total and also includes chemicals, steel, aluminum, TV components and many consumer products, including food and clothing.
China's Commerce Ministry said Wednesday that the Trump administration's announcement of new measures was "unacceptable".
"We have to bear in mind the possibility of the 232 Section investigation report being announced before the November midterm elections", Kang said in a separate meeting with senior officials of carmakers and automotive associations.
"This type of irrational behavior is unpopular", the statement said, adding China would tack on the case to its suit against the U.S. at the WTO.
Head of USA equity strategy at JP Morgan, Dubravko Lakos-Bujas, said: "Despite trade headlines, S&P 500 companies should deliver robust earnings on above-trend revenue growth and sharply higher margins. We believe the U.S. measures interfere with economic globalization and damage the world economic order".
China Daily said in an editorial that Beijing had to stand up to Washington.
"China has no option but to fight fire with fire".
In a statement USA trade representative Robert Lighthizer said these new additional tariffs are a result of "China's retaliation and failure to change its practices" after the first round of tariffs.
"Unfortunately, China has not changed its behaviour - behaviour that puts the future of the United States economy at risk".
The US said that was in response to Beijing's failure to change its policies and to retaliate for last week's US tariff hike by increasing its own duties on American goods. "There is no justification for such action".
China said it is "shocked" after the USA announced plans for fresh tariffs, escalating a trade war between the two countries.
The Trump administration on July 6 imposed 25 per cent duties on US$34 billion in Chinese imports, the first time the president has implemented tariffs directly on Beijing after threatening to do so for months.
Unfortunately for markets, no end is in sight, with further retaliatory levies nearly certain to be enacted by China in the coming days or weeks.
On top of this, these tariffs are eliminating numerous economic gains created by last year's tax reform. That could include making life hard for American companies operating in the world's second biggest economy. As the catalog of goods facing tariffs expands with each round, retailers have to adapt - sometimes by increasing prices for consumers - without an end to the conflict in sight, Shay said.
"American families are the ones being punished". They warned tariffs on imports raise consumer prices and expose USA farmers and manufacturers to retaliation.
Global markets are in turmoil as the Trump administration intensifies its trade war once again.
The US complains that China uses predatory practices in a push to challenge American technological dominance.