US stock markets took another hit today as former President Donald Trump prepared to unveil a broad slate of new import tariffs, which he has dubbed “America’s Liberation Day.”
The impending tariffs are expected to affect all trading partners, not just those with significant trade imbalances with the United States. In response, global markets also saw a downturn:
- Japan’s Nikkei index closed down more than 4%
- The FTSE 100 in London dropped approximately 1% in early trading
The British government has stated that it expects the UK to be impacted by the new tariffs and has not ruled out retaliatory measures. The proposed tariffs would add to existing levies on aluminum, steel, and automobiles, as well as increased duties on all Chinese imports.
Analysts warn that these moves could further destabilize global markets and increase tensions between major economies.