Markets Rattle Amid Fresh Tariffs and Global Tensions

Global stock markets continue to decline following new tariffs by the Trump administration targeting the auto industry. The announcement of 25% tariffs on vehicles and auto parts affected markets worldwide, sparking concerns about economic stability and triggering threats of retaliatory measures from various countries.

Global stock markets faced a second consecutive day of losses as U.S. President Donald Trump's administration imposed new tariffs on the auto industry, deepening an ongoing trade war. On Wednesday, Trump announced a 25% tariff on imported vehicles and auto parts, affecting Japan's Nikkei and South Korea's KOSPI indexes significantly.

Countries worldwide have voiced the possibility of retaliatory tariffs. U.S. stock markets experienced volatility with automakers struggling, in contrast to gains seen by electric vehicle manufacturers Tesla and Rivian due to their U.S.-based production. General Motors saw a 7.36% decline, while Ford slipped 3.88% amid supply chain worries.

Investor concerns loom large over the long-term impact of these tariffs, coupled with President Trump's unpredictable policy changes. Major U.S. indexes, including the Dow Jones, are slated for consecutive monthly declines. In Europe, leading carmakers like Volkswagen and BMW also posted declines, reflecting global economic uncertainty under the current geopolitical climate.

(With inputs from agencies.)