With President Donald Trump threatening to take the minimum tariff on Chinese goods to 104 percent on Wednesday, Beijing is betting it can stare him down with a simple strategy: Retaliate, then sit back and wait.

China said it would not bow to "blackmail" from the United States as a global trade war touched off by U.S. President Donald Trump's sweeping tariffs showed little sign of abating on Tuesday even as battered stock markets steadied.

China faced a deadline Tuesday to roll back the reciprocal tariff it promised to impose on the U.S. or face an additional 50% levy.