[HONG KONG] President Donald Trump sent Asian markets plunging Monday after threatening to hike tariffs on US$200 billion of Chinese goods at the end of the week in a bid to speed up stuttering trade talks between the economic superpowers.
The warning will throw a shadow over the next round of talks, with a delegation from Beijing due in Washington this week, with Bloomberg News reporting the Chinese side are considering their position.The two sides have imposed tariffs on US$360 billion in two-way trade since last year. But Mr Trump and his Chinese counterpart Xi Jinping agreed a truce in December, helping fan a surge across world stock markets for the past four months.
The yuan also took a hiding, shedding more than 1.3 per cent at one point against the dollar, its heaviest fall in more than three years. The currency had been sitting around 10-month highs on the back of optimism the two sides would sign off on a trade pact.