US President Donald Trump has announced sweeping tariffs on US imports, sparking fears of an escalating trade war that could shake up global alliances. The 10% base tariff on all imports and higher targeted duties on certain trading partners have triggered threats of retaliation from China, the European Union, and other countries.
Global stock markets plummeted as investors sought safe-haven assets, with tech and retail stocks particularly hard hit. Economists warn that the tariffs could reignite inflation, raise recession fears, and boost costs for US families by thousands of dollars.
Trump’s move targets key geopolitical allies, including Japan, South Korea, and Taiwan, while also impacting impoverished countries in Africa. The tariffs are seen as a response to barriers on US goods, but critics argue they will have devastating effects on global trade.
US allies like Germany and Canada have already expressed concerns, with German Economy Minister Robert Habeck suggesting closer economic ties with Canada. Canadian Prime Minister Mark Carney vowed to retaliate against Trump’s tariffs, while Mexican officials said they would continue negotiations.
The new US tariffs are the highest in over a century, with an average duty of 22.5% on imports. The move has sparked widespread condemnation from leaders and economists alike, who warn that it could have far-reaching consequences for global trade and economies.
Source: https://www.reuters.com/world/trump-stokes-trade-war-world-reels-tariff-shock-2025-04-03