Overview

• President Trump’s tariffs, including a 10% baseline on all imports and higher rates for specific countries, have begun rolling out, with a 25% tariff on foreign-made vehicles taking effect on April 3.
• Global markets reacted sharply, with the Dow Jones dropping over 1,000 points and significant declines in Asian and European stock indices, reflecting fears of inflation and recession.
• Key trading partners, including the EU, China, and Canada, have condemned the tariffs, with some preparing retaliatory measures and others urging negotiations to avoid escalation.
• Economists warn that the tariffs could increase costs for U.S. consumers and businesses, disrupt supply chains, and raise the likelihood of a global recession.
• The EU is considering retaliatory measures, such as taxing U.S. tech companies, while Japan and India are seeking diplomatic solutions to mitigate the impact.