Stocks fell Tuesday, resuming the selling seen late last week, as trade worries were reignited overnight by China.

The Dow Jones Industrial Average lost 504 points, or 1.09%. The S&P 500 lost 1.26%, while the Nasdaq Composite shed 1.86%.

China imposed sanctions on five of South Korea’s Hanwha Ocean’s U.S. subsidiaries. This will forbid organizations and individuals in China from doing business with the affected companies. The move, the Chinese government said, aims at strengthening China’s security.

U.S. Treasury secretary Scott Bessent said Monday to the Financial Times that the move to impose penalties on U.S. subsidiaries signals China’s economic weakness, adding that the country’s leaders “want to pull everybody else down with them.”

Trade tensions have been rising since late last week, when President Donald Trump threatened to place an additional 100% tariff on Chinese imports, sending stocks sharply lower. The Dow on Friday lost more than 800 points, while the S&P 500 posted its biggest one-day loss since April 10.