Our model, which is based on IMF estimates, shows that if a 10 per cent tariff on US trade were fully passed onto the consumer, global inflation would rise by about 0.7 percentage points.1 This, in turn, could reduce corporate earnings by 2.5 per cent and cut global stocks’ price-to-earnings ratios by up to 15 per cent. 


However, the impact of a trade war will be felt far beyond the two world's largest two economies. In some instances, open economies in such as Taiwan, Korea and Singapore in Asia and Hungary, the Czech Republic and Ireland in Europe could be more vulnerable than the US and China (see chart)


https://www.am.pictet/-/media/pam/pam-common-gallery/article-content/2018/graphs/market-views/in-briefs/jun2018-us-china-trade-war/participation-rate.png

Alameda wrote:

> On July 6, the US began to impose 25 percent tariffs on $34 billion worth of Chinese imports. The US has breached WTO trade rules and launched the largest trade war in economic history to date