Small boom in China factory activity ahead of tariff gloom

China has warned Washington that it will retaliate if the US goes ahead with the levies. President Donald Trump has already imposed tariffs totaling 20% on Chinese shipments since his second term started in January. The US is also set to complete a review this week of Beijing's compliance with the phase-one trade deal struck during Trump's first term. China reported data last week that showed profits at industrial firms contracted at the start of the year, flashing a worrying sign for the economy.