Penalties of between five and ten percent will be imposed on September 1 and December 15, respectively, according to China's customs authority. It is the same date that the United States plans new tariffs on Chinese goods.

Agricultural products such as soybeans, wheat, corn and millet are among the US goods subject to Chinese penalties.

In December, China also plans to reintroduce 25 percent tariffs on US cars and five percent tariffs on car parts.

The tensions in the trade relationship between the world's two largest economies are making an impression on the stock market. The message about China's move in the power struggle caused the stock exchanges to reverse and the Stockholm Stock Exchange reversed its earlier rise to decline.

No surprise

However, the reaction from China was expected.

- I'm not at all surprised. The United States is acting, China is responding, says Fréderic Cho, independent Chinese advisor

On August 1, US President Donald Trump trumpeted a new threat of Chinese-imposed penalties for a total value of $ 300 billion as of September. The Chinese government already said that countermeasures were to be expected. Donald Trump has since announced that tariffs on some of the goods, such as clothing, computers and toys, have been postponed until December.

-China has consistently said: we do not want a trade war but if you want a trade war we will fight. When Trump said he would introduce new tariffs, it was clear that China had to respond, Fréderic Cho said.

New conversations

Since China's imports from the United States are significantly smaller than the US imports from China, China does not have as much room to impose goods with a penalty.

- They have probably hit the ceiling on American goods they can decide on tariffs, says Frédéric Cho.

Instead, the result is now that tariffs already introduced are being increased on certain products.

However, there are other measures that China, according to Cho, could take such as make it more difficult for US companies to do business and invest in China.

Earlier, new talks in the negotiations for a trade agreement between the world's two largest economies are scheduled to take place in September.