Markets tumble as Trump escalates trade war with 100% tariff on China ‘over and above’ current rates
Stocks fall after Trump threatens ‘massive increase of Tariffs on Chinese products’
- Donald Trump announced a “massive increase of Tariffs on Chinese products,” threatening a 100 percent tariff “over and above” current rates.
- This announcement led to a significant drop in the S&P 500, Dow Jones Industrial Average, and NASDAQ Composite on Friday.
- Trump's proposed tariffs are a direct response to China's new export controls on rare earth minerals, which Beijing implemented to “safeguard national security and interests.”
- The new tariffs, alongside American export controls on “any and all critical software,” are scheduled to commence on November 1, or potentially earlier.
- This escalation reignites trade tensions between the US and China, following a period of previous tit-for-tat tariffs and subsequent easing.