New Delhi, April 10 -- China's yuan closed at its weakest level in over 17 years on Wednesday, following a record-low drop in its offshore counterpart overnight, as tensions from the escalating U.S.-China trade war shook currency markets.

The onshore yuan ended domestic trading at 7.3498 per dollar - the lowest closing since December 2007.

The currency slide coincides with rising trade tensions between the world's two largest economies. On Wednesday, U.S. President Donald Trump's "reciprocal" tariffs came into effect, including steep duties of 104% on Chinese imports.

In response, China's top officials are expected to convene as early as Wednesday to devise measures aimed at bolstering the economy and calming capital markets, according...