Unfazed China hikes tariff on US products; says will not succumb to Trump's pressure tactics

China on Monday retaliated against the US imposing additional tariffs and vowed that it will "never surrender to external pressure" after President Donald Trump warned his Chinese counterpart Xi Jinping that Beijing "will be hurt very badly" if he did not strike a deal with America.

As the two trading giants and top economies were locked in a bruising trade war, President Trump on Monday warned the Communist giant not to impose retaliatory tariffs on American products.

After the near collapse of trade talks with China last week, Trump on Friday imposed punitive duties on USD 200 billion worth of Chinese imports, raising them to 25 per cent from 10 per cent, and asked for a similar increase on tariff on the rest of the Chinese import of over USD 300 billion.

In the latest escalation of the trade war, the Chinese Ministry of Finance said tariffs on USD 60 billions of US exports to China would rise by "25, 20 and 10 per cent" respectively.

Products that were taxed at five per cent would .