Asian sharemarkets falls in response to Trump’s prices | Stock markets

Asian stare-active fell in early discussions on Monday after the taxation of Trump administration prices in Mexico, Canada and China aroused fears of the world’s commercial war.

Taiwan’s Taiex dropped by 4.4% at the opening, led by a dive of more than 6% in the TSMC of semiconductor heavy goods vehicles. The Japan Topix index fell up to 2.3% and Kospi from Korea dropped up to 2.4%, led by major exporters with exposure to global markets, including Canada and Mexico such as that the manufacturers of Samsung and LG electronics, and the automaker Kia. Chinese sharing remain closed for the new year lunar holidays.

The reference of Australia ASX 200 opened more than 2%, withdrawing from a new record reached on Friday. The iron ore miners, including BHP and Rio Tinto, followed the price of the goods below. The Hong Kong Hang Seng index opened 0.9%.

Future Europeans have also dropped sharply, up to 3.4%after Donald Trump said at a press conference that European Union member countries would be the next in the shooting line. The euro plunged up to 2.3% to $ 1,0125.

“We will see what is happening,” replied the American president when asked by the journalists which countries would be following being targeted by prices. “This will certainly happen with the European Union, I can tell you.”

The US dollar has reached a record against Chinese Yuan in offshore trade, and has jumped in the highest since 2003 against Canada’s currency and the strongest since 2022 against the Peso of Mexico.

Trump on Saturday followed his promise to place 25% of prices in Canada and Mexico – with the exception of Canadian energy which will attract a price of 10% – as well as tariffs of 10% on China, in retaliation against Immigrants and illegal drugs which, according to him, enter the United States of these countries. The White House said the prices would come into effect on Tuesday.

He has already sparked reprisals from the three targeted countries. The Canada Ministry of Finance has published a list of American products imported into Canada which it will target with a 25%reprisal rate, also from Tuesday. Claudia Sheinbaum, president of Mexico, also promised to implement reprisals, but also declared that her government worked on a “plan B” insists that Mexico “did not want confrontation”.

China said it would file a complaint against prices. The taxation of prices by the United States “seriously violates” the rules of the World Trade Organization (WTO), said the Chinese Ministry of Commerce in a statement, urging the United States to “engage in a Franche dialogue and strengthen cooperation ”.

Trump’s decision was the first strike of what could inaugurate a destructive world trade war and stimulate an increase in American inflation which “would happen even faster and would be greater than what we expected,” said Paul Paul Ashworth of Economics Capital.

Barclays’ strategists previously estimated that the American prices could create a 2.8% trail on the profits of the S&P 500 company, including the projected reversal of the reprisals from the targeted countries.

“During Trump’s first term, prices and trade tensions drew attention to the most general subject of the advantages but also the disadvantages of globalization,” said Ing analysts, led by Inga Fechner. “This time, it is difficult to see how a climbing of trade tensions can do anyone’s good.”

Reuters contributed the reports