India, April 8 -- China has refused to back down as a global trade war ignited by President Donald Trump's tariffs continues to impact markets, deepen diplomatic rifts, and threatens global economic stability.

China blasted what it described as "blackmail" by the United States, after Trump vowed to hike tariffs on Chinese goods to over 100% starting Wednesday. The move was in retaliation for Beijing's decision to match the "reciprocal" duties Trump unveiled last week - an aggressive tit-for-tat escalation that has upended hopes for a negotiated truce.

"The US side's threat to escalate tariffs against China is a mistake on top of a mistake," China's commerce ministry said in a blistering statement. "If the US insists on having its way, C...