BEIJING — China warned Tuesday it will retaliate against President Donald Trump’s latest tariff threat, fueling fears their escalating dispute could harm global trade and economic growth.

The Commerce Ministry criticized Trump’s order to prepare tariffs on $200 billion of Chinese goods as blackmail. In a forcefully worded statement, it said Beijing is ready to “defend the interests of the Chinese people and enterprises.”

“If the U.S. side becomes irrational and issues the list, China will have to adopt comprehensive measures in quantity and quality in order to make strong countermeasures,” said the statement.

It gave no details. But on Saturday, Beijing announced 25 percent tariffs on $34 billion of U.S. imports including soybeans and beef effective July 6 in response to Trump’s tariff hike on a similar amount of Chinese goods. It also scrapped agreements to narrow China’s trade surplus with the United States by purchasing more American farm goods, natural gas and other products.

Asian stock markets fell following Trump’s announcement. The Shanghai Composite Index was down 3.7 percent at midday while Tokyo’s benchmark was off 1.7 percent.

The pain has been limited so far to sellers of goods targeted by U.S. and Chinese tariffs, but economists say the impact could spread. The risk of “a more meaningful impact on global trade and growth have increased,” said Morgan Stanley economists.

Until now, China has mirrored Trump’s actions, matching Friday’s tariff hike with identical charges on the same amount of imports. But the lopsided status of U.S.-Chinese trade means Beijing doesn’t import enough American goods to match Trump’s latest threat.

China bought American goods worth $153.9 billion last year, while exports to the United States totaled $429.8 billion, according to customs data. That would leave about $120 billion of imports available for retaliatory tariffs after Saturday’s announcement.

Chinese regulators also have the option of broadening their retaliation by tying up American companies in tax or anti-monopoly investigations or by denying or revoking licenses.

“China could target U.S. firms through tax and regulatory policies,” said Citigroup in a report.

Washington’s dispute with China is part of broader U.S. complaints about global trading conditions that have prompted Trump to raise duties on steel, aluminum, washing machines or solar panels from Canada, Europe, Japan and South Korea.

Economists warn Washington might be undercutting its negotiating position by alienating allies.

The process of negotiating a settlement “is now likely to become more protracted,” said economists in a report.