Firstly, China's counter measures are limited in scope compared to Donald Trump's levy of 10% on all Chinese goods heading to the US. America is the biggest exporter of liquid natural gas across the world, but China accounts for only around 2.3% of those exports and its major car imports are from Europe and Japan.

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,