Dhaka, April 3 (V7N) – Asian stock markets suffered sharp declines after the United States imposed new tariffs on 185 goods from the region, raising fears of a global trade and supply chain crisis. The move, announced by President Donald Trump, has sent shockwaves through financial markets, particularly affecting key US trading partners in Asia.

Japan’s Nikkei 225 plummeted 4.6%, hitting an eight-month low. South Korea’s KOSPI index dropped 36.57 points, while China’s stock market also took a significant hit. Additionally, the Chinese yuan weakened to its lowest value in seven weeks as investors reacted to the escalating trade tensions.

The US decision to impose tariffs has particularly impacted China, Japan, Vietnam, and South Korea, some of Washington's largest trading partners. Analysts fear that these measures could severely disrupt global trade flows, affecting industries from technology to manufacturing.

Renowned economist Tim Harcourt criticized the move, stating, “No one will win this trade war. Imposing tariffs is like shooting yourself in the foot. Ultimately, it will reduce Trump’s popularity and hurt the US economy.”

Harcourt also predicted that Asian economies may shift their focus towards regional trade, strengthening economic ties between Northeast Asia and ASEAN nations to counterbalance the impact of US tariffs.

As tensions mount, markets will be closely watching how Asian governments and businesses respond to the escalating trade conflict.

END/MSS/AJ