Global stocks slip as Trump imposes on imports

A man looks at the electronic board showing the number of Nikkei Aktie average on the Tokyo exchange on a street in central Tokyo on February 3, 2025.

Kazuhiro nogi/AFP

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Kazuhiro nogi/AFP

The global stock markets fell, the dollar strengthened, oil prices increased, with the US stock market futures down sharply on Monday, after President Trump introduced duty on imports from the most important trading partners Mexico, Canada and China this weekend.

Asian markets fell with Taiwan, South Korea and Japan performing the worst. Nikkei index in Japan down by about 2.5%, while Hong Kong’s hung bed fell by 1.3% in early trade.

Trump charged a 25% tax on most goods imported from Canada and Mexico and another 10% on goods from China.

The president’s customs threats also rattled the markets in Europe. Pan-Europeean Stoxx 600 index fell 1.4% Monday morning. Germany’s DAX was down by 2%. The FTSE 100 index that tracks the hundred largest companies built in London fell 1.25% at the start of trade.

The stocks of many car manufacturers were down, considering the complex nature of the supply chain manufacturers between the United States, Canada and Mexico. Many also manufacture cars in Mexico or Canada before exporting them to US Stellantis, Volkswagen, Toyota, Nissan and Honda’s shares all fell. GM and Ford shares dropped sharply in pre-market trading on Monday.

President Trump said on Sunday night that new tariffs on the EU would “certainly happen,” but suggested that he might be able to take a softer line in Britain and said he had a good relationship with Prime Minister Keir Stormer, but that the United Kingdom ” Maybe “still face sanctions.

The dollar is meanwhile strengthened against a number of currencies, including the euro, the Mexican peso and the Canadian dollar.