Washington – President Donald Trump launched a trade war Tuesday against America’s three biggest trading partners, drawing immediate retaliation from Mexico, Canada and China and sending financial markets into a tailspin as the U.S. faced the threat of rekindled inflation and paralyzing uncertainty for business.

President Donald Trump's Commerce secretary indicates there won't be a "pause" on tariffs, but negotiations with Canada and Mexico will meet "in the middle."

US tariffs against Canada and Mexico are set to come into effect on Tuesday but their level will be decided by Donald Trump, the US commerce secretary has said.