Trump's Tariff Threats Trigger Market Tumble

Markets in China and Hong Kong fell after U.S. President Donald Trump hinted at new tariffs on Chinese imports. The potential 10% tariff aims to address fentanyl issues, affecting major indices. Analysts suggest Trump may delay actual increases pending trade deal reviews. Key sectors, including real estate, were notably impacted.

China and Hong Kong stock markets suffered noticeable declines on Wednesday after U.S. President Donald Trump indicated potential new tariffs on Chinese imports.

The CSI 300 Index and Shanghai Composite Index both ended down by 0.9%, marking the largest single-day drop in nearly a fortnight. Meanwhile, the Hang Seng Index in Hong Kong fell 1.6%, retreating from a recent five-week high.

The onshore yuan weakened slightly by around 0.2%, contrary to expectations after the central bank fixed the midpoint at a new high over two months.

(With inputs from agencies.)