CHINA has called for a “people’s war” while hitting out at the “greed and arrogance” of the US amid an escalating trade dispute with Washington.

Beijing’s state-run media has went into propaganda overdrive after Donald Trump doubled tariffs on Chinese goods last week sending stock markets tumbling.

2 President Xi's state media has ramped up its anti-US propaganda amid an escalating trade war with America Credit: AP:Associated Press

One editorial published by the Xinhua News Agency and the People's Daily said America was fighting for “greed and arrogance", reports CNN.

The opinion piece said that China is fighting to defend "its legitimate rights and interests."

Taking aim at Trump, the article continued: “The trade war in the United States is the creation of one person and his administration who have swept along the entire population of the country.

“Whereas the entire country and all the people of China are being threatened. For us, this is a real 'people's war'.”

And in a statement read out during the 7pm news on state broadcaster CCTV, Beijing said it would “fight for a new world.”

In footage which has since gone viral in China, news anchor Kang Hui said: “As President Xi Jinping pointed out, the Chinese economy is a sea, not a small pond.

For us, this is a real 'people's war China on its trade war with Trump

“A rainstorm can destroy a small pond, but it cannot harm the sea. After numerous storms, the sea is still there.”

Last week, Trump warned China it will be “hurt very badly" if it doesn't strike a trade deal with the US.

In a direct message to counterpart President Xi he also said Beijing would soon have "nobody left to deal with."

His words came days after the US more than doubled tariffs on $200bn (£153.7bn) of Chinese goods, in a sharp escalation of their trade war.

In a series of tweets, Mr Trump said China had "taken so advantage of the US for so many years. Therefore, China should not retaliate - will only get worse!"

2 Beijing has slammed the US leader's 'greed and arrogance' in a series of editorials in state-run media Credit: AP:Associated Press

President Trump hits out as China for ‘trying to renegotiate a trade deal’ as the US increases tariffs on $200b worth of Chinese goods

He was also quick to point out that US consumers could avoid any tariffs by buying the same products from other sources.

"Many tariffed companies will be leaving China for Vietnam and other such countries in Asia. That's why China wants to make a deal so badly!" he said.

He also tweeted: "I say openly to President Xi & all of my many friends in China that China will be hurt very badly if you don’t make a deal because companies will be forced to leave China for other countries.

"Too expensive to buy in China. You had a great deal, almost completed, & you backed out!

"There will be nobody left in China to do business with. Very bad for China, very good for USA!

"But China has taken so advantage of the US for so many years, that they are way ahead (Our Presidents did not do the job). Therefore, China should not retaliate-will only get worse!"

However, despite the US president's threat China did today announce it would raise tariffs on $60 billion of US goods from June 1.

MOST READ IN NEWS Latest STARK WARNING UK coronavirus cases rise by 6,634 in highest increase EVER in 24 hours STORE TOT SNATCH Family's horror as 'kidnap gang try to rip girl, 1, from pram' in TK Maxx DOMINANT STRAIN New Covid mutation is 'more contagious & could adapt to get round masks' FACE FACTS The 6 times you can refuse to wear a face mask and NOT face fines HAPPY MEAL McDonald’s worker pays customer’s bill after he calls mum to ask for her order furlough 2.0 Rishi announces furlough plan where workers get 77% pay for doing 1/3 hours

Earlier, Mr Trump's top economic adviser, Larry Kudlow, said "both sides will suffer" from the trade dispute.

And stocks plunged on Wall Street at opening on Monday after China announced the retaliatory tariffs. Technology, industrial and consumer-focused companies are bearing the brunt of the losses. Apple was down 4.4 per cent while Caterpillar was off by four per cent. The Dow Jones Industrial was down 470 points, or 1.8 per cent and the tech-heavy Nasdaq was down 2.3 per cent. Chancellor Philip Hammond says a full-blown US-China trade war would be 'very dangerous' for growth as Donald Trump hikes tariffs on Chinese products

We pay for your stories! Do you have a story for The Sun Online news team? Email us at tips@the-sun.co.uk or call 0207 782 4368 . We pay for videos too. Click here to upload yours