Global Trade Upended by Trump's New Tariff

At the stroke of midnight ET, a new era in global trade began as the U.S. implemented a sweeping 10% tariff, marking a stark departure from decades of mutually agreed trade norms. This move, described by experts as unprecedented, has sent shockwaves through global markets.

Immediate Impact on Global Markets

The announcement led to a historic $5 trillion wipeout in stock market value for S&P 500 companies, with commodities and oil prices plummeting. Investors rushed to the safety of government bonds, signaling widespread uncertainty.

Countries in the Crosshairs

Initial tariffs target Australia, Britain, Colombia, Argentina, Egypt, and Saudi Arabia, with no grace period for cargoes already in transit. However, a 51-day reprieve is offered for shipments en route before the deadline.

Higher Tariffs on the Horizon

Come Wednesday, reciprocal tariffs ranging from 11% to 50% will take effect, with the EU facing 20% and China a staggering 34%, escalating tensions further.

Exemptions and Future Measures

Certain goods, including steel, aluminum, and auto parts, are exempt, alongside a list of over 1,000 product categories. Yet, investigations into national security tariffs loom over several sectors.