Washington DC - President Donald Trump's punishing tariffs on dozens of economies came into force Wednesday, including over 100% in levies against Chinese goods, sending markets into a tailspin again as the devastating global trade war intensified.

Following the sweeping 10% tariffs that took effect over the weekend, rates on imports from US trading partners like the European Union or Japan rose further at 12:01 AM ET Wednesday.

China is the hardest hit, with tariffs imposed on its products since Trump returned to the White House now reaching a staggering 104%.

Trump said Tuesday his government was working on "tailored deals" with trading partners, with the White House saying it would prioritize allies like Japan and South Korea.

Robert F. Kennedy Jr. Robert F. Kennedy Jr. sends FDA officials fleeing with deep state rant

His top trade official Jamieson Greer also told the Senate that Argentina, Vietnam and Israel were among those who had offered to reduce their tariffs.

Trump told a dinner with fellow Republicans on Tuesday night that countries were "dying" to make a deal. "I'm telling you, these countries are calling us up kissing my a**," he said.

But Beijing has shown no signs of standing down, vowing to fight a trade war "to the end" and promising countermeasures to defend its interests.

China's retaliatory tariffs of 34% on US goods are due to enter in force at 12:01 AM local time on Thursday.

Trump had originally unveiled a 34% additional tariff on Chinese goods.

But after China countered with its own tariff of the same amount on American products, Trump piled on another 50% duty.

Counting existing levies imposed in February and March, that takes the cumulative tariff increase for Chinese goods during Trump's second presidency to 104 percent.

Robert F. Kennedy Jr. Robert F Kennedy Jr. buys Cheryl Hines a $4 million DC home amid rumors of marriage troubles

Trump has insisted the ball was in China's court, saying Beijing "wants to make a deal, badly, but they don't know how to get it started."

Late Tuesday, Trump also said the US would announce a major tariff on pharmaceuticals "very shortly."

Separately, Canada said that its tariffs on certain US auto imports will come into force Wednesday, while the EU is planning tariffs of up to 25% on American goods ranging from soybeans to motorcycles, according to a document seen by AFP.

After trillions in equity value were wiped off global bourses in the last days, markets in Asia came under pressure again on Wednesday, with Hong Kong plunging more than three percent and Japan's Nikkei sinking 2.7%.

The markets accelerated their losses as the new tariffs came into effect, with Taiwan stocks closing down 5.8% in the afternoon.

Ahead of European markets' open, stock futures were also indicating steep drops ahead.

Foreign exchange markets likewise witnessed ructions, with the South Korean won falling to its lowest level against the dollar since 2009 this week.

China's offshore yuan also fell to an all-time low against the US dollar, as Beijing's central bank moved to weaken the yuan on Wednesday for what Bloomberg said was the fifth day in a row.

Oil prices slumped, with the West Texas Intermediate closing below $60 for the first time since April 2021.

In one public sign of friction over tariffs, key Trump ally Elon Musk described senior White House trade advisor Peter Navarro as "dumber than a sack of bricks."

Musk, who has signaled his opposition to Trump's trade policy, hit out after Navarro described his Tesla company as "a car assembler" that wants cheap foreign parts.