From China to Europe, Canada to Mexico, world markets are already reeling from Donald Trump's promise to jack up tariffs when he becomes U.S. president in less than two weeks.

President-elect Donald Trump may try to use tariffs to increase U.S. power in the global economy, but they likely will backfire and damage the U.S. economy, said Maurice Obstfeld, the former chief economist at the International Monetary Fund.

The 'Washington Post' had reported that Trump aides were exploring tariff plans that would be applied to every country but only cover certain sectors deemed critical to national or economic security.