New Delhi: Asian stock markets experienced a significant upswing on Thursday following US President Donald Trump's announcement of a 90-day suspension of tariffs for 75 nations, including India. This move provided a measure of relief to global investors amid escalating trade tensions.
Japan's Nikkei 225 index surged by over 8.34 percent, while Taiwan's weighted index saw an increase of more than 9 percent at the time of reporting. South Korea's KOSPI index also experienced a notable rise, climbing over 5 percent.
The Hang Seng index in Hong Kong rose by approximately 4 percent. However, Indian stock markets were closed on Thursday in observance of the public holiday for Shri Mahavir Jayanti.
While this temporary reprieve benefited some nations, the trade conflict between the US and China continued to intensify. On Wednesday (local time), President Trump declared an immediate increase in tariffs on Chinese imports to 125 percent. This decision was a reaction to China raising its tariffs on US goods from 34 percent to 84 percent, effective April 10.
Simultaneously, Trump announced a reduction in tariffs for the 75 countries currently in trade negotiations with the United States, providing a 90-day pause and a more favorable reciprocal tariff arrangement. India is included among these nations.
"Due to the lack of respect that China has demonstrated towards global markets, I am raising the tariff imposed on China by the United States to 125 percent, effective immediately. I hope that soon, China will understand that exploiting the USA and other countries is no longer viable or acceptable," Trump stated on the social media platform Truth Social.
In light of the fact that over 75 countries have reached out to representatives from the United States, including the Departments of Commerce, Treasury, and the USTR, to seek a resolution on issues related to trade, trade barriers, tariffs, currency manipulation, and non-monetary tariffs, and considering that these countries have refrained from retaliating against the United States at my strong recommendation, I have decided to implement a 90-day pause and significantly reduce the reciprocal tariff to 10% during this timeframe, effective immediately. Thank you for your attention to this matter!
