Markets Rattled as Trump Tariffs Overturn Global Trade

Global markets were rocked after US President Donald Trump escalated his trade offensive with a sweeping set of new tariffs. 

The move raised levies on Chinese imports from 20% to a staggering 54%, with Japan and South Korea slapped with 24% and 25% duties, respectively. Taiwan, another major US trade partner, was hit with a 32% tariff, while Australia faces a 10% duty. The result was a sharp sell-off across Asia-Pacific and European markets, with US futures also pointing deep into the red.

Japan’s Nikkei 225 closed 2.8% lower after tumbling over 4% at the open. South Korea’s Kospi gave up 2.7% during the day and settled just under 1% down. Hong Kong’s Hang Seng Index dropped 1.5%, while Australia’s ASX 200 ended the session down 0.9%. 

In Europe, Germany’s DAX fell 1.3%, France’s CAC 40 was off by 1.6%, and the Stoxx 600 slipped 1.2%. The FTSE 100 in London dropped 1%. US stock futures were no comfort either—Dow futures were down 2.4%, the S&P 500 by 2.9%, and Nasdaq futures were off 3.2%.

Tech and automotive names bore the brunt. Shares of Sony slid 5.4%, while Toyota, Honda, Samsung, and Hyundai each saw declines of 3% to 5%. Meanwhile, gold surged past $3,160 per ounce as traders looked for safety amid the turmoil.

What Does This Mean for Me?

This latest wave of tariffs—stacked atop previous 25% duties on steel, aluminum, and autos—extends the trade battle beyond China and into allied markets. With more tariffs looming in May, and global pushback intensifying, markets are bracing for more volatility in the weeks ahead.