90 percent of the Chinese exports to the US will be hampered if new tariffs are announced, said Michael Every, Rabobank adding that China will have to respond to the US in some way.

Unlike China and other Asian markets, India is a domestically-focused economy, said Every.

“I believe this is a political issue in the first place with a clear economic repercussions. Once that is clear to US President Donald Trump and to politics in general, they will refrain from further action,” said Bruno Verstraete, Partner at Lakefield Partners.

Bruno said that all the countries which are not on the tariff list could be the beneficiaries of this tariff war between the US and China.

"There is more political war of words without thinking what it could cause in reality," he said.

First Published:Jun 19, 2018 3:02 PM IST