Beijing, whose retaliatory tariffs on $60 billion in American goods are set to kick in, hit back by accusing Washington of "economic intimidation".

Hopes for talks to resolve the long-running spat appeared to have been dashed as Beijing reportedly cancelled the visit of a negotiating team that had been expected September 27-28 in Washington.

"Trade war concerns remain front and centre for financial markets, with European markets following their Asian counterparts lower," said IG analyst Joshua Mahony.

The latest US tariffs against Beijing brings the amount of goods hit by duties to more than $250 billion, roughly half of China's US exports, with American consumers set to feel the pain.

"Global equities are under pressure as China called off planned trade talks with US, potentially triggering an escalation in the tariff war between the world's largest economies," added Oanda analyst Dean Popplewell.