Oil prices fell more than 2% on Wednesday as a large build in U.S. crude and gasoline stockpiles signalled demand weakness while concern about a new China-U.S. trade war fuelled fears of softer economic growth.

U.S. crude oil inventories increased more than expected as production picked up, while the build in gasoline stocks extended to almost three months.

Oil advanced as President Donald Trump placed hefty tariffs on a range of imports, including energy from Canada and Mexico, threatening higher costs for American consumers.