Foreign markets saw a wave of liquidations on Monday morning before the expected presentation of the radical tariffs of President Donald Trump on Wednesday, measures that the president said they will impact “all countries.”
Japan’s Nikkei index fell more than 4% and South Korea Kospi fell 3% after the opening on Monday. In Europe, the British Ftse 100 fell by 1.18%, the German Dax index fell by 1.82%and CAC 40 of France fell by 1.76%.
The gold, a traditional safe asset, reached a new record of $ 3,128 per ounce.
The US markets will open on Monday morning after falling at the end of last week. The Dow Jones closed 1.7% on Friday, the S& P 500 below 1.97% and the Nasdaq compound dropped 2.7%.
A currency merchant walks through screens that show the exchange rate between the US dollar and the South Korean won in a currency negotiation room in Seoul, South Korea, on March 31, 2025.
Lee Jin-Man/AP
Trump told reporters this weekend that his tariffs could affect “all countries.”
“Tariffs will be much more generous than those countries for us, which means that they will be more friendly than those countries for the United States of America,” he said.
“Throughout the decades, they scammed us as if no country had never been scammed in history and we will be much more friendly than for us, but it is substantial money for the country,” Trump said.
Automotive rates of 25% are among which it is expected to enter into force on April 3. The measures will be applied to imported passenger vehicles, including cars, SUV, minivans, load vans and light trucks, according to a statement from the White House issued last week.
Analysts expect tariffs to increase the prices of foreign manufacturing cars, since importers will probably transmit a part of the tax burden on consumers.
Cars produced in the US are also expected to submit significant price increases since manufacturers will assume higher costs for imported parts and will face an increase in demand, since buyers look for national alternatives, experts have told ABC News.
Trump ruled out concerns about automatic tariffs this weekend. “Automobile manufacturers will earn a lot of money,” he said. “American car manufacturers or international car manufacturers, if you are talking about them, will be built in the United States.”
“People who are going to make money are people who make cars in the United States,” he continued. “Outside the United States, that will depend on them. I don’t care too much. But you have many companies that come to the country to make cars.”
Max Zahn and Hannah Demissie of ABC News contributed to this report.
