China and the United States are in the throat of each other at the tariffs and none of

US companies that want to sell themselves in the huge Chinese market have just made a big hit. An increase in prices by 34% for all US goods entering the country will be completely killed here.

This is especially bad for US farmers. They already had 10 or 15% tariffs for their production entering China in response to the last round of Trump's rates. Now, if you add 34% on top, it is probably a pricing of most of them.

Beijing does not seem too worried to seek elsewhere for more chicken, pork and sorghum and – at the same time – he knows that he is the president of the US president right in his heart.

Globally, all this is worried about analysts.

The problem is that the supply chains have become so international, the components in each product can be obtained from all angles of the planet.

So, when the pulsations of economic suffering begin to spread from country to country, it could have potentially catastrophic consequences for all trade.

The most concerned is that the two largest economies in the world are already on the throat of one another, without any indications that none of them is preparing to retreat.

Just take Beijing's message time.

The Chinese government revealed its promised “decisive counteraction” to Trump's latest tariffs in a written statement from the Ministry of Finance at 18:00 local time (10:00 GMT), on Friday night, which is also an official holiday.

Time can mean a few things.

1. He wanted to bury the news at home so he didn't scare people too much.

2. He simply made the message as soon as he finalized his own calibration.

3. Beijing gave up the hope of using the small window he had, before 54% Trump's tariffs came into force next week to make a deal. So, the government just decided to let him break.

If this is the last of these reasons, it is a very grim news for the world economy, because it may mean that the agreement between world superpowers may be more difficult to reach than many expected.

Another indicator of his president's attitude towards President Trump's tariffs can be seen from what he is doing when they were announced.

Elsewhere, governments may have been glued to television, hoping to avoid the worst of Washington.

Not here.

XI and six other members of the Politburo Permanent Committee came out for planting trees to draw attention to the need for contradiction.

This presented a kind of calm in Trump's face, radiating a vibration in the order of: Make your best Washington, this is China and we are not interested in your nonsense.

There is still room for the US and China to reduce a deal, but it seems that rhetoric is not targeting this way.

Another possible way is China to increase its trade with other countries – including Western countries that are once regarded as close allies of the United States – and for these new routes essentially to cut America from the cycle.

Again, this would hurt not only US companies, but also US consumers who will already pay higher prices thanks to Trump's rates.