US Tariff Hikes on Chinese Goods Kick In, Beijing Vows Retaliation

President Donald Trump's latest tariff hike on Chinese goods took effect Friday and Beijing said it would retaliate, escalating a battle over China's technology ambitions and other trade tensions.

The Trump administration raised duties on $200 billion of Chinese imports to 25% from 10%. China's Commerce Ministry said it would impose "necessary countermeasures" but gave no details.

The increase went ahead even after American and Chinese negotiators began more talks in Washington aimed at ending a dispute that has disrupted billions of dollars in trade and shaken global financial markets.

"The risk of a complete breakdown in trade talks has certainly increased," said Michael Taylor of Moody's Investors Service in a report.