China's launches drills around Taiwan to "severely punish" the island's pro-independence leader, as the U.S. boosts its war footing in Japan to deter Chinese "aggression."

China's military concluded two-day war games around Taiwan in which it held long-range, live-fire drills in the East China Sea, marking an escalation of exercises around the island.

Alongside Wall Street, global stock markets took a beating after Trump unveiled a 10% baseline tax on all imports, as well as higher tariff rates for some major trade partners.

The tariffs will be two-tiered. First, there will be a 10% baseline tariff on all countries. Additionally, reciprocal tariffs will be charged on the "worst offenders" of nontariff barriers.

President Trump held up a chart in the Rose Garden outlining some of the larger tariff rates he will charge some nations. China will be charged a 34% tariff, the chart said, the European Union will get a 20% levy,