Global credit rating agency Fitch Ratings said that South Korea's growth target for next year could decrease by zero-point-24 percentage points due to the escalation in the U.S.-China trade war.

Fitch on Monday issued this forecast under the assumption that the U.S. will impose an additional ten percent tariff on 300 billion dollars worth of Chinese imports and that Beijing will retaliate to this move.

In June, Fitch forecast two percent growth for the South Korean economy for this year and two-point-six percent growth for next year.

Considering the escalating trade war between the world's two largest economies, Fitch said the outlook on global economic growth for 2020 could be downgraded from two-point-74 to two-point-62 percent.

It said that new tariffs announced by Washington on Chinese imports indicate expanding U.S. trade protectionism and that such a move can pose a serious threat to global economic growth.