Overview

• President Trump has announced 25% tariffs on all imported vehicles starting April 3, alongside reciprocal tariffs targeting all trading partners beginning April 2.
• Global markets have reacted negatively, with sharp declines in major indices across Asia, Europe, and the U.S., as fears of inflation and recession grow.
• Economists warn that the tariffs could disrupt global supply chains, raise consumer prices, and elevate the risk of a U.S. recession, with inflation projected to surpass 4% next quarter.
• Key trading partners, including the European Union and Canada, are preparing retaliatory measures, further escalating tensions in global trade relationships.
• Trump has stated he is open to negotiating exemptions with individual countries but remains committed to the tariffs as part of his protectionist agenda to boost U.S. manufacturing.