As the US Government tariffs on $34 bn of Chinese imports took effect at 0401 GMT (midnight US Eastern Time) on July 6, President Donald Trump threatened to escalate the trade war with tariffs on a total of $450 bn in Chinese goods if Beijing retaliates. Beijing said retaliatory tariffs on US goods will go into effect immediately after the US acts. The development has rankled financial markets worldwide, including stocks, currencies and global trade of commodities, according to a report. Chinese Commerce Ministry spokesman Gao Feng said China will not bow down to US ‘threats and blackmail’ and is determined to defend free trade and the multilateral system.