Trump’s Tariffs Shake Global Markets: Asian Shares Plunge, Bitcoin, Other Cryptos Hit Hard

Guwahati: After US President Donald Trump imposed tariffs on Canada, Mexico and China, Asian shares tumbled due to the negative sentiment in markets. Investors and traders slashed risk in a range of crypto tokens with Bitcoin at one point dipping nearly 6 per cent, Ether fell as much as 26.5 per cent in Asia trading while smaller tokens posting sharp decline on Monday.

Reportedly, Trump has imposed tarrifs on the two major US trading partners with a 25 per cent tariff on Canadian and Mexican imports while a 10 per cent on Chinese goods. This turbulent phase for investors and traders may impact major company earnings and slow global growth. 

How Canada and Mexico Responded to Trump's Tariffs?

Meanwhile Canada and Mexico seems to have activated their revenge-mode. They have said that they will hit back with at Trump's latest decision with retaliatory tariffs while China promised 'corresponding countermeasures' and pledged to challenge Trump's risky move at the World Trade Organisation. 

The move threatens decades-old trade relationships with Mexico and Canada. Moreover, reports suggest that, if tariffs sustain, it could significantly worsen inflation in the United States. 

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On the other hand, Trump has clarified that the tariffs are necessary to stop the flow of illegal drugs and immigration into the United States. 

According to Coinglass data, more than $1 billion of bullish crypto positions were liquidated in derivatives markets during early Asia hours Monday. That’s the most in a day since December 9, 2024.

Economist and market expert Peter Schiff also shared his opinion on Trump's tariffs on Twitter. "Effective tomorrow, Trump will impose 25% tariffs on all products Americans buy from Canada and Mexico and 10% tariffs on all products they buy from China. Assuming no exemptions, that's a $250 billion tax increase on Americans, which equates to about $2K per household per year," he wrote on X.