China's state media warned U.S. President-elect Donald Trump his pledge to slap additional tariffs on Chinese goods over fentanyl flows could drag the world's top two economies into a mutually destructive tariff war.

Mexico said it would slap tit-for-tat tariffs on the US, while China said Trump's finger-pointing "runs completely counter to facts".

While China could offset American tariffs by letting its currency fall, that might endanger Beijing’s recent efforts to stabilize the economy.

Trump's promise to impose a 25% tariff on all imports from Canada and Mexico mimics his old strategy of using tariff threats as a negotiating tool.

No One Will Win a Trade War,' China Says After Trump Tariff Threat WASHINGTON (Reuters) - Neither the United States nor China would win a trade war, the Chinese Embassy in Washington said on Monday, after U.

Reaction to Trump's day one promise to slap tariffs on three of the America's key trading partners: Mexico, Canada and China. The president-elect framed the proposal as a response to the fentanyl crisis.

The president-elect’s threat to hit Canada, Mexico and China with new tariffs is already rocking business and diplomatic relationships and could topple the trade pacts he signed in his first term.

President Claudia Sheinbaum suggested Mexico could respond to Donald Trump’s threatened tariffs with levies of its own, warning the economic consequences would be dire.

Canadian officials slammed U.S. President-elect Donald Trump's tariff plan this week, calling it "insulting." Trump has vowed to impose tariffs on goods from Canada, Mexico and China immediately after taking office in January.