US Increases Tariffs on $200B of Chinese Imports

Tensions between United Sates and China have gained new push as President Donald Trump's increased tariffs on $200 billion in Chinese imports took effect as of 12:01 US Eastern time Friday.

The Trump administration raised the import taxes on those goods from 10% to 25%. China has threatened to retaliate if Trump proceeded with his threat to raise those tariffs.

The Trump team is intensifying its trade war with Beijing, which it claims reneged on commitments it had made in earlier trade talks. The tariff increase took effect even after negotiators for the two sides resumed talks Thursday in Washington.

The talks were due to resume Friday after wrapping up without any word on progress.

The higher import taxes won't hit goods that already left Chinese ports before Friday's deadline. Only when those shipments complete the three- to four-week voyage across the Pacific to the U.S. would they face the 25% tariff.

"China deeply regrets that it will have to take necessary countermeasures," said a Commerce Ministry statement.

Shares in Asia were mixed Friday amid renewed investor jitters about the possible impact of the trade battle on global economic growth.

The latest increase extends 25% U.S. duties to a total of $250 billion of Chinese imports. Trump said Sunday he might extend penalties to all Chinese goods shipped to the United States.

Beijing retaliated for previous tariff hikes by raising duties on $110 billion of American imports. But regulators are running out of U.S. goods for penalties due to the lopsided trade balance.

Chinese officials have targeted operations of American companies in China by slowing customs clearance for their goods and stepping up regulatory scrutiny that can hamper operations.