Trump s latest tariffs loom set to deepen global trade war

BEIJING/WASHINGTON - President Donald Trumps reciprocal tariffs on dozens of countries were set to take effect on Wednesday, including massive 104% duties on Chinese goods, deepening his global trade war even as he prepared for negotiations with some nations.

Trumps punishing tariffs have shaken a global trading order that has persisted for decades, raised fears of recession and driven worldwide stocks sharply downward.

The Samp;P closed below 5,000 for the first time in nearly a year on Tuesday and is nearing a bear market, defined as 20% below its most recent high.

Samp;P 500 companies have lost $5.8 trillion in stock market value since Trump unveiled the tariffs last Wednesday, the deepest four-day loss since the benchmarks creation in the 1950s, according to LSEG data.

A sell-off across Asian markets resumed on Wednesday after a brief respite, with Japans Nikkei down over 3% and South Koreas won currency sliding to a 16-year low. U.S. stock futures also pointed to a fifth straight day of losses on Wall Street.

Trump has offered investors mixed signals about whether the tariffs will remain in the long term, describing them as permanent but also boasting that they are pressuring other leaders to ask for negotiations.

We have a lot of countries coming in that want to make deals, he said at a White House event on Tuesday afternoon. He said at a later event that he expected China to pursue an agreement as well.

Trumps administration has scheduled talks with South Korea and Japan, two close allies and major trading partners, and Italian Prime Minister Giorgia Meloni is due to visit next week.

The prospect of deals with other countries had pushed stock markets up earlier on Tuesday, but U.S. stocks had ceded their gains by the end of the trading day.

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