Beijing, China - Beijing imposed brutal 84% tariffs on US products after President Donald Trump increased levies on China to 125%, despite backtracking on his market-wrecking global trade war.

As markets rebounded from Trump's shock reversal on a global trade war, Beijing imposed 84% retaliatory tariffs on US imports, upping tit-for-tat levies and refusing to cave in to pressure from Washington.

The levies will apply to all US products entering China, the world's second-largest economy, which totalled approximately $143.5 billion last year.

While Trump backed down from his tariff regime on Wednesday, at least temporarily, he announced that due to Beijing's "lack of respect," he would up the total tariffs imposed on Chinese imports to a total of 125%.

China China slaps whopping tariffs on US as Trump seems willing to make a deal

"Based on the lack of respect that China has shown to the World’s Markets, I am hereby raising the Tariff charged to China by the United States of America to 125%, effective immediately," Trump said in a statement on Truth Social.

Shortly before Trump's announcement, the head of the World Trade Organization (WTO) on Wednesday warned that if the trade war were to escalate further, it could see trade cut by 80% between the two countries.

"This tit-for-tat approach between the world’s two largest economies, which together account for roughly 3% of global trade, carries wider implications that could severely damage the global economic outlook," the WTO said.

China's response also didn't come without precedent or warning, as Beijing has repeatedly warned of a strong response to Trump's trade war.

"We will not let anyone take away the Chinese people’s legitimate right to development," Chinese foreign ministry spokesperson Lin Jian said Wednesday, mere hours before Trump upped tariffs on Beijing.

"We will not tolerate any attempt to harm China’s sovereignty, security and development interests," Lin said. "We will continue to take resolute and strong measures to safeguard our legitimate rights and interests."