What new tariffs did President Trump propose on European countries?

President Trump proposed a 10% tariff on goods from eight European countries, to increase to 25% if a deal for Greenland is not reached.

How are Asian markets reacting to the proposed US tariffs?

Asian markets are facing pressure, with equity futures pointing to declines in Japan and Hong Kong, reflecting reduced risk appetite.

What is the economic outlook for China?

China's economy is expected to cap 2025 with its weakest quarterly growth in three years, with GDP projected to increase by 4.5% year-on-year.

Home / Business and Economy / Trump's New Tariffs Spark Global Market Jitters

Trump's New Tariffs Spark Global Market Jitters

19 Jan

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Summary

New US tariffs proposed on eight European countries.
Markets show pressure; currencies and equities decline.
Chinese economic growth expected to be weakest in three years.

Trump's New Tariffs Spark Global Market Jitters

Asian markets experienced pressure early Monday following President Donald Trump's proposal of new tariffs targeting eight European countries. This action has diminished investor risk appetite and increased demand for safe-haven assets, with the pound and euro showing notable losses against the dollar.

Analysts express concern over the escalating trade tensions, warning that a full-blown trade war between the EU and the US would result in widespread losses. The uncertainty surrounding these new tariffs comes as Chinese economic data is expected to reveal the slowest quarterly growth in three years for the final quarter of 2025.

Market participants are now anticipating the European opening, with regional equities expected to be significantly impacted. Some strategists view Trump's actions as a negotiating tactic ahead of the World Economic Forum, suggesting potential for a de-escalation.