China hits back at the U.S. by raising tariffs, too

The country’s finance ministry announced that it would increase duties on a wide range of American goods to 20 or 25 percent from 10 percent on June 1.

The news rippled through Wall Street, which had its worst day since the beginning of the year, as investors digested the prospect that the trade war could persist.

Takeaway: While China’s decision intensifies the ongoing trade war, delaying implementation leaves room to reach a deal that could end the standoff.

The move mirrors the Trump administration’s increased tariffs on Chinese goods. Those won’t bite immediately, either: they will apply to shipments that left China on Friday, which typically take two to four weeks by sea to reach the U.S.