THE TRADE WAR is escalating, and fast. On April 8th Chinese officials vowed to “fight to the end” in the face of new threats from Donald Trump, made just hours earlier. Having at first promised levies of 34% on Chinese goods, America’s president now vows to ratchet up tariffs by another 50% if China does not drop its retaliatory tariffs, also of 34%. According to Goldman Sachs, a bank, such measures would lift America’s tariff rate on China to 110% on April 9th, when the levies are due to come into effect. A day later Chinese tariffs on American goods would stand at about 70%.