Trump Tariff Highlights: Trump claims US in ‘driver’s seat’ after tariff announcements, says ‘now they will do anything for us’

Mexican President Claudia Sheinbaum stated Wednesday that she would wait until Thursday to assess the impact of Trump’s tariff announcement before deciding on any action. “It’s not a question of if you impose tariffs on me, I’m going to impose tariffs on you,” Sheinbaum said, emphasising that Mexico’s priority is strengthening its economy rather than immediate retaliation.

New Zealand challenged Trump’s tariff logic. Trade Minister Todd McClay emphasised that New Zealand is “a very low tariff regime” and does not impose a 20% tariff, as claimed. He clarified that the actual rate is below the 10% baseline applied by the US. Despite the tariffs, McClay ruled out retaliation, stating, “We won’t be looking to retaliate. That would put up prices on New Zealand consumers and it would be inflationary.”

Indian-American members of the US Congress and the diaspora community have strongly criticised President Donald Trump’s new 26% reciprocal tariffs on India, calling them “reckless and self-destructive.” They urged both nations to engage in dialogue to mitigate economic damage.

Congressman Raja Krishnamoorthi slammed the tariffs as a “tax on working families” that isolates the US globally while hurting small businesses.

Congressman Ro Khanna warned of higher prices on cars, groceries, and home repairs, calling the tariffs an “incoherent economic policy” that could lead to stagflation.

Congressman Ami Bera stressed that American consumers will bear the cost, calling the tariffs a tax hike, not a tax cut.

Wendy Cutler of the Asia Society Policy Institute called the tariffs a “shock” that could slow global economic growth, disrupt trade flows, and trigger retaliatory measures.

Thai Prime Minister Paetongtran Shinawatra announced that Thailand will engage in negotiations with the US following President Donald Trump’s sweeping tariff hikes. She assured that the government would take measures to prevent any significant impact on the country’s GDP.

Australian Prime Minister Anthony Albanese criticised the US tariffs on his country as “totally unwarranted” but confirmed that Australia will not retaliate. “President Trump referred to reciprocal tariffs. A reciprocal tariff would be zero, not 10%,” Albanese stated, highlighting that the US-Australia free trade agreement already favors the US, which enjoys a 2-to-1 trade surplus with Australia. “This is not the act of a friend,” he added. Trump defended the tariffs by noting that the US purchased $3 billion worth of Australian beef last year, while Australia blocks US beef imports. Albanese clarified that the ban on raw US beef was due to biosecurity concerns.

“Gold and silver prices showed very high price volatility in the international markets after the US President Donald Trump announced sweeping new global tariffs on Wednesday late night, in a move that roiled equity markets and sent gold and silver prices to session highs,” Rahul Kalantri, VP Commodities, Mehta Equities Limited.

Indian stock markets opened in the red on April 3 as investors reacted to US President Donald Trump’s sweeping tariff hikes. The move, which imposes steep duties on key trading partners like China, the EU, and Japan, has shaken global markets and dampened sentiment at home. Investors remain cautious as global trade tensions escalate. READ MORE

Sensex dropped 1.05%, opening at 75,811.86

Nifty declined 0.59%, starting at 23,193.90

Indian stock markets opened in the red on April 3 as investors reacted to US President Donald Trump’s sweeping tariff hikes. The move, which imposes steep duties on key trading partners like China, the EU, and Japan, has shaken global markets and dampened sentiment at home. Investors remain cautious as global trade tensions escalate.

Canada had previously imposed retaliatory tariffs in response to Trump’s 25% tariffs, which he linked to fentanyl trafficking. The European Union, reacting to US steel and aluminum tariffs, imposed duties on €26 billion ($28 billion) worth of American goods, including bourbon—prompting Trump to threaten a 200% tariff on European alcohol in retaliation.

US Treasury Secretary Scott Bessent urged trading partners not to retaliate against Trump’s new tariffs, warning that duties won’t escalate further unless met with countermeasures. Meanwhile, former Treasury Secretary Larry Summers slammed the tariffs as the “most expensive and masochistic” trade policy in decades.

Following the tariff announcement, US stocks plunged, with Big Tech and airlines hit hard. The S&P 500 has lost over $4 trillion in market value since February due to tariff fears. Defending the policy, Bessent highlighted existing high foreign tariffs on US goods, including 50% on American dairy from the EU, 100% on US farm exports from India and nearly 300% on butter and cheese from Canada.

List of reciprocal tariffs by country –

China: 34%

European Union: 20%

Vietnam: 46%

Taiwan: 32%

Japan: 24%

India: 26%

South Korea: 25%

Thailand: 36%

Switzerland: 31%

Indonesia: 32%

Malaysia: 24%

Cambodia: 49%

United Kingdom: 10%

South Africa: 30%

Brazil: 10%

Bangladesh: 37%

Singapore: 10%

Israel: 17%

Philippines: 17%

Chile: 10%

Australia: 10%

Pakistan: 29%

Turkey: 10%

Sri Lanka: 44%

Colombia: 10%

Peru: 10%

Nicaragua: 18%

Norway: 15%

Costa Rica: 10%

Jordan: 20%

Dominican Republic: 10%

United Arab Emirates: 10%

New Zealand: 10%

Argentina: 10%

Ecuador: 10%

Guatemala: 10%

Honduras: 10%

Madagascar: 47%

Myanmar (Burma): 44%

Tunisia: 28%

Kazakhstan: 27%

Serbia: 37%

Egypt: 10%

Saudi Arabia: 10%

El Salvador: 10%

Côte d’Ivoire: 21%

Laos: 48%

Botswana: 37%

Trinidad and Tobago: 10%

Morocco: 10%

Indian shares are set to open lower on Thursday after Trump imposed a 26% reciprocal tariff on Indian imports, a move that surprised analysts. GIFT Nifty futures fell 0.22%, signaling weakness in the Nifty 50 index, while the Indian rupee is also expected to decline amid broader weakness in Asian markets.

Other Asian markets tumbled, with MSCI Asia ex Japan down 1%, as investors sought refuge in bonds, gold, and the yen.

Despite the setback, some Indian exports could gain a competitive edge as tariffs on India remain lower than those on China (34%), Taiwan (32%), and Vietnam (45%). Additionally, pharmaceutical products have been exempted, benefiting Indian pharma firms that rely on the US market. However, IT companies could suffer as higher tariffs push up US domestic inflation, leading to lower client spending.

The US has imposed a 26% tariff on Indian goods as part of Trump’s radical trade overhaul, which includes a 10% baseline duty on all imports and higher levies on nations with “unfair” trade barriers—Vietnam (45%), Thailand (36%), and Taiwan (32%). The move marks a seismic shift in global trade rules, signaling retaliation against high tariffs on US exports. Read more at: Trump’s full country-wise tariff list here – Asia, Europe hit harder

The White House stated that Russia was left off Trump’s tariff list due to existing sanctions limiting trade. However, the move raised eyebrows as smaller economies, including Ukraine, face new levies. Despite this exemption, Trump warned that a 25% tariff on Russian oil and other products could be imposed within a month if Moscow fails to reach a ceasefire in Ukraine.

The Indian Pharmaceutical Alliance (IPA) acknowledged the exemption of pharmaceuticals from US tariffs, highlighting the sector’s critical role in healthcare and economic stability. Secretary General Sudarshan Jain emphasised India’s commitment to strengthening the medicine supply chain and reinforcing national security while supporting the Mission 500 trade goal between the two nations. “Pharmaceuticals have been exempted from tariffs. The decision underscores the critical role of cost-effective, life-saving generic medicines in public health, economic stability, and national security,” Jain said in a statement.

China has strongly opposed the latest US tariffs and vowed countermeasures, urging Washington to cancel the levies immediately. Beijing’s commerce ministry condemned the move, accusing the US of ignoring past trade agreements and benefiting from global trade. Trump’s new tariffs include a 34% levy on Chinese goods, raising total new duties to 54%. A 10% baseline tariff will apply from Saturday, with higher reciprocal rates kicking in on April 9. Additionally, Trump signed an order closing the “de minimis” loophole, which had allowed duty-free entry of low-value Chinese goods into the US.

India’s agricultural exports to the US may remain stable or even grow despite new tariffs, as competing nations face steeper duties, says agricultural economist Ashok Gulati. While India faces a 26% tariff under Trump’s new trade policy, key competitors like China (34%), Vietnam (46%), and Thailand (36%) face even higher levies. Gulati noted that this tariff differential could give Indian exporters an advantage, particularly in seafood and rice. He suggested that India might gain market share in areas where higher-taxed competitors lose ground.

India’s commerce ministry is assessing the impact of the 26% reciprocal tariffs imposed by the US, a senior government official said Thursday. The universal 10% tariffs on all imports into the US will take effect from April 5, with the remaining 16% applied from April 10. India’s commerce ministry is analyzing the impact of the newly announced 26% US tariffs, a senior official said Thursday. The official noted that the Trump administration could consider lowering duties if a country addresses US concerns. India is already in talks for a bilateral trade agreement with the US, aiming to finalize the first phase by fall (September-October). The official described the situation as “a mixed bag and not a setback for India.”

Asian strategists are increasingly favoring Indian stocks over other regional markets, citing India’s strong domestic-driven economy and relatively lower exposure to US tariffs, as per a Bloomberg report. This growing interest reflects a shift toward assets that are less vulnerable to external trade pressures.

Italy’s conservative Premier Giorgia Meloni criticised the 20% tariffs imposed on the European Union, calling them “wrong” and asserting that they benefit neither side. “We will do everything we can to work towards an agreement with the United States, with the aim of avoiding a trade war that would inevitably weaken the West in favour of other global players,” Meloni said in a Facebook post.

Shortly after Trump’s announcement, the British government reaffirmed that the US remains the UK’s “closest ally.” Business Secretary Jonathan Reynolds expressed hopes of securing a trade deal to “mitigate the impact” of the 10% tariffs imposed on British goods. “Nobody wants a trade war and our intention remains to secure a deal,” said Reynolds. “But nothing is off the table and the government will do everything necessary to defend the UK’s national interest.”

The White House criticised India’s non-tariff barriers in sectors like chemicals, telecom, and medical devices, stating they make it costly for American companies to operate in the country. It estimated that removing these barriers could boost US exports by $5.3 billion annually. In response, President Trump announced a 26% “discounted reciprocal tariff” on India, citing the country’s high levies on US goods. The White House framed the tariffs as part of a broader strategy to protect American workers and strengthen the US economy.

Hong Kong’s Hang Seng Index fell 2.43% at the open on Thursday, shedding 564.32 points to 22,638.21, following Donald Trump’s sweeping tariff hikes, including a 34% levy on Chinese imports. Meanwhile, China’s Shanghai Composite Index dropped 0.91% to 3,319.61.

Following US President Donald Trump’s tariff announcement, Congress MP Shashi Tharoor emphasised the potential impact on the automobile industry, particularly the trade of auto parts. “We are not selling many automobiles in America, but automobile parts are a major factor and that would be affected, and the first victims are going to be American manufacturers who would be buying Indian parts. So that’s not very good for us, that’s not very good for them, and that’s not very good for the American consumers,” Tharoor said.

He added, “I hope that in the negotiations over the next nine months, we have time till September-October for a trade agreement, I hope that our negotiators will do a good job in trying to get something better than this.”

“The hike in reciprocal tariffs makes it crucial for India to secure a bilateral trade deal with the US at the earliest,” Bloomberg quoted Sonal Varma, an economist at Nomura Holdings Inc, as saying. She noted that India is likely to respond in the coming months by reducing tariffs on a range of US imports, increasing purchases of American energy products, and expanding market access. The tariffs are expected to increase pressure on New Delhi to negotiate a trade deal with Washington.

Markets are expected to react sharply today as Donald Trump’s sweeping tariffs take center stage. While some companies soar on big deals and strong earnings, others struggle with new trade barriers. On April 2, “Liberation Day,” Trump announced a 10% universal import duty on all goods entering the US. Major trading partners like China, India, Japan and the EU face higher levies, impacting automobiles, pharmaceuticals, electronics, IT, and jewelry sectors. Here’s a look at the top stocks in play today.

Switzerland expressed concerns over the disproportionate tariffs imposed by the US, which placed a 31% levy on Swiss imports—higher than the 20% applied to the European Union and 10% for the UK. Swiss President Karin Keller-Sutter stated on X (formerly Twitter) that her government “takes note” of the US decision and will assess appropriate next steps.

In response to the US’s 10% tariff on Brazilian exports, the country’s Congress swiftly passed the “Economic Reciprocity Law,” granting the government the authority to retaliate against trade restrictions. The legislation was approved unanimously by the House of Representatives after clearing the Senate a day earlier.

Canadian Prime Minister Mark Carney pledged to challenge Trump’s sweeping tariffs, stating that they would “fundamentally change the global trading system.” While Canada’s exposure to the latest tariff round is lower than that of some other nations, Carney stressed that American levies on steel, aluminum, and automobiles will “directly affect millions of Canadians.” “We will respond with countermeasures,” he declared in Ottawa.

Asian markets and US futures tumbled after President Donald Trump announced major tariff increases on global imports. Japan’s Nikkei 225 fell 3.4%, while South Korea’s Kospi dropped 1.9% and Australia’s ASX 200 declined 1.8%. US futures signaled potential losses, with S&P 500 futures down 3% and Dow Jones futures down 2%.

Despite early volatility, US stocks closed higher on Wednesday, with the S&P 500 up 0.7% and Dow Jones up 0.6%. Tesla initially dropped 6% due to weak vehicle deliveries but ended the day 5.3% higher. Newsmax stock plunged 77.5%, giving back some of its massive gains.

Trump’s new tariffs include a 10% baseline tax on all imports and higher rates for countries with trade surpluses, such as China (34%), the EU (20%), and Taiwan (32%). Auto, steel, aluminum, and oil-importing nations also face new levies. Bond yields fluctuated, and crude oil prices dropped, with Brent crude at $72.89 per barrel. The US dollar weakened against major currencies.