China announces $60 billion of U.S. goods for tariff retaliation

Beijing plans to impose an additional 5% in tariffs on about 600 kinds of products including planes and computers, another 10% on nearly 1 000 products including wigs and textiles, an extra 20% on more than 1 000 items including some chemicals, cookers and paper, and an additional 25% on over 2 400 products such as meat, wheat, wine and LNG, according to the statement.

Signalling the nation's readiness to respond to higher tariffs threatened by Donald Trump on $200bn of Chinese imports, officials in Beijing said countermeasures were ready and waiting for the next move from Washington.

The retaliation stands to further inflame tensions between the world's two biggest economies and echoes China's response to the previous round of tariffs, which took effect last month.

The Trump administration has issued temporary emergency financial support of $12 billion to help farmers hard-hit by China's retaliatory tariffs such as soybean farmers.

China's top envoy called on the United States to remain "cool-headed" on Thursday as Washington threatened to raise the tariff rates on another $200 billion worth of Chinese imports.

"The politicians just watched as other countries stole our jobs, plundered our wealth and got the crown jewels of the American economy", he told supporters. "I keep my promises".

An all-out trade war could overshadow Trump's otherwise solid economic record of low unemployment and stimulus-fuelled growth.

"The Administration's "Energy Dominance" and "New Energy Realism" agendas will cease to exist if one of the largest energy markets in the world is preemptively placing tariffs on LNG", Charlie Riedl, the industry group's president, said in a statement.

A statement said: "Any unilateral threat or blackmail will only lead to intensification of conflicts and damage to the interests of all parties".

During a July 20 CNBC interview, Trump said that he was willing to put tariffs on all $505.5 billion dollars worth of goods that China exports annually to the U.S.

"He (Pompeo) was accommodating on this as a direction, and said that he does not want current frictions to continue", said State Councilor Wang Yi, who is also China's foreign minister.

Washington and Beijing are locked in a battle over American accusations that China's export economy benefits from unfair policies and subsidies, as well as from the theft of American technological know-how.

The latest Chinese response shows the limits of Beijing's ability to hit back at Washington dollar for dollar, given that China's exports to the United States far exceed its USA imports.

Beijing can not match those measures dollar for dollar, as its exports far exceed imports.

Trump announced a further round of 25 percent of tariffs June 15 on $50 billion worth of Chinese goods. But they have rejected changing technology development plans they see as a path to prosperity and global influence.

"The Chinese are also coping by lowering the rate of the yuan, while the United States can look towards countries in Southeast Asia as replacements for its imports, so it's not a big issue".