China and the U.S are escalating their trade war with new sanctions and trade actions. The recent tensions followed President Trump's threat of 100% tariffs on Chinese goods. Both countries are now imposing port fees on each other's vessels, a clear sign of escalating tensions. Beijing sanctioned five U.S. subsidiaries of the South Korean shipbuilder Hanwha Ocean. The U.S. Treasury Secretary accused China of damaging the global economy. Trump had previously softened his stance in a Truth Social post, saying things would be fine. China's Commerce Ministry responded by stating they are prepared to "fight to the end" if dialogue fails. Market reactions include falling global equity futures and a cautious mood in Asia. Investors are watching for the upcoming Trump-Xi meeting in South Korea. The situation includes various market movements.