Global Trade Turmoil: Tariff Escalations Shake Markets

China will impose 84% tariffs on U.S. goods as part of a trade war initiated by Trump's tariffs on several countries. These actions have destabilized global trading, leading to market declines and fears of recession. The EU and other nations are preparing retaliatory measures against the U.S. tariffs.

China announced it would implement 84% tariffs on U.S. goods starting Thursday, escalating the trade conflict initiated by U.S. President Donald Trump. Trump's reciprocal tariffs have disrupted global trade, leading the European Union and other countries to prepare retaliatory actions.

The conflict has roiled financial markets, with major indices like the S&P 500 suffering significant losses since the imposition of tariffs. The drop has shaken investor confidence and sent the dollar tumbling against other major currencies as fears of a recession loom.

Despite the market turmoil, Trump remains firm on maintaining the tariffs, suggesting their permanence while hinting at possible negotiations. In response, the European Commission plans to implement additional duties on U.S. imports, joining China and Canada in challenging the tariffs.

(With inputs from agencies.)