Asian Markets Slide as Renewed US-China Trade Tensions Spark Global Sell-Off
Asian shares tumbled on Monday after escalating trade tensions between the United States and China triggered heavy losses on Wall Street.
US markets skidded on Friday after President Donald Trump threatened to impose new 100% tariffs on Chinese goods, reigniting fears of a trade war between the world’s two largest economies. The move was in response to Beijing’s new export restrictions on rare earth materials, which are vital for producing everything from smartphones to jet engines.
In Asia, the Hang Seng Index in Hong Kong slumped 3.5% to 25,374.00, while most other major regional markets fell by more than 1%. The Shanghai Composite dropped 1.3% to 3,846.25, South Korea’s Kospi declined 1.7% to 3,550.32, and Australia’s S&P/ASX 200 slid 0.9% to 8,882.60. Taiwan’s Taiex lost 1.7%, and India’s Sensex slipped 0.5%. Markets in Tokyo were closed for a public holiday.
On Wall Street, the sell-off was equally sharp. The S&P 500 plunged 2.7%—its worst single-day performance since April—closing at 6,552.51. The Dow Jones Industrial Average fell 1.9% to 45,479.60, and the Nasdaq Composite tumbled 3.6% to 22,204.43.
