The world’s two largest economies did not strike a deal to avert sweeping U.S. tariffs, which came into effect after midnight. Beijing immediately retaliated.

President Trump delayed tariffs on Mexico and Canada, but imposed 10% levies on China, prompting Beijing to retaliate. Follow along for live updates on stocks and markets, including the Dow Jones Industrial Average,

President Trump says the Chinese tariffs are a response to trade deficits, and the flow of fentanyl into the US The United States runs a trade deficit with the European Union, which means it imports more from European countries than it sells to them.