US President Donald Trump approved tariffs on $50 billion Chinese goods, Bloomberg reports. Administration of President is getting ready to issue renewed list of goods that will be subject to tariffs. First list was published in April and included 1300 Chinese products.

Experts think that this step will take the world closer to trade war. China announced that will take counter measures and cancel all previous trade agreements between countries, if the US imposes tariffs.

Index Shanghai Composite dropped to the lowest level since September 2016.

It shall be noted, that worsening of relationships between two countries comes at inappropriate time for Chinese economy that shows signs of slowing down.

Meanwhile, as Reuters reports, the US are close to finishing second list of goods amounting to $100 billion that will be subject to another wave of import tariffs.