China raises tariffs on US goods from 84% to 125% as trade war escalates 

China’s Commerce Ministry also said it was filing another legal case with the World Trade Organisation on the raising of US tariffs

An aerial view of new cars waiting for shipment at a pier for ro-ro ships in Yantai city in eastern China's Shandong province. Picture: Chinatopix Via AP

China on Friday increased its tariffs on US imports to 125%, hitting back against president Donald Trump's decision to hike duties on Chinese goods to 145% and raising the stakes in a trade war that threatens to up-end global supply chains.

China's retaliation intensified the economic turmoil unleashed by Mr Trump's tariffs, with markets tumbling further and foreign leaders puzzling how to respond to the biggest disruption to the world trade order in decades.