China rolled out a bunch of measures on Tuesday aimed at U.S. companies like Google, farm equipment manufacturers, and the owner of Calvin Klein, right after new U.S. tariffs on Chinese imports kicked in. 

In a quick reaction to these tariffs imposed by President Trump, Beijing also slapped tariffs on American goods, including coal, oil, and some vehicles, ramping up the trade tensions between the two largest economies in the world. 

The State Administration for Market Regulation in China announced that Google is under investigation for potentially breaching the country's anti-monopoly laws, although they didn’t share any specifics about the allegations. Google’s services, including its search engine, are blocked in China, and its revenue from the country is only about 1% of its global sales, but it still collaborates with local partners like advertisers. 

Back in 2017, Google tried to set up a small AI center in China, but that project was shut down two years later, and the company no longer conducts AI research there, as mentioned in a blog post. 

On another note, China’s Commerce Ministry added PVH Corp, which owns brands like Calvin Klein and Tommy Hilfiger, along with U.S. biotech firm Illumina, to its "unreliable entity" list. They claimed these companies took "discriminatory measures" against Chinese businesses, harming their legitimate rights and interests. 

Being on this blacklist can lead to fines and various sanctions, including trade freezes and revoking work permits for foreign employees. Google chose not to comment, and PVH and Illumina didn’t respond to inquiries outside of regular U.S. business hours. PVH was already facing scrutiny from Chinese regulators over "improper" actions related to the Xinjiang region.

"These moves are warnings that China intends to harm U.S. interests if need be, but still give China the option to back down," Capital Economics said in a note.

"The tariffs could be postponed or cancelled before they come into effect... The probe against Google could conclude without any penalties."

TESLA AND AGRICULTURAL EQUIPMENT COMPANIES

China has announced a 10% tariff on imports of U.S. agricultural equipment, which may affect companies like Caterpillar, Deere & Co, and AGCO, along with a limited number of trucks and large-engine sedans exported to China from the United States. This could potentially include Elon Musk's Cybertruck, a specialized vehicle that Tesla has been marketing in China while awaiting regulatory approval to commence sales. 

In December, China's Ministry of Industry and Information Technology classified the Cybertruck as a "passenger car" in a post that was later removed. If the Cybertruck were to be classified as an electric truck, Tesla would incur a 10% tariff on any future imports from its Texas manufacturing facility. Tesla has not provided an immediate response to these developments.

The new tariffs on U.S. goods are set to take effect on February 10, as stated by the ministry. The announcements made on Tuesday have intensified trade restrictions between Beijing and Washington, which had previously been primarily focused on the technology sector during the administration of former U.S. President Joe Biden, aimed at limiting China's access to advanced semiconductors. 

In December, China initiated an investigation into Nvidia for a suspected breach of the country's anti-monopoly regulations, a move widely interpreted as retaliation against recent U.S. restrictions on the Chinese semiconductor industry. Additionally, Intel's products sold in China were subjected to a security review late last year by a prominent Chinese industry organization.