Global leaders are responding with concern, warnings of potential retaliatory actions, and demands for rapid talks to ensure more equitable trade regulations following the announcement of extensive new tariffs by U.S. President Donald Trump. However, their preliminary steps indicate caution, as major trading partners aim to prevent an all-out trade war with the largest economic power worldwide.

Asian markets declined during Thursday’s trading session, and U.S. futures plummeted, indicating potential turmoil ahead in the American market as investors prepare for possible economic disruptions.

In his “Freedom Day” proclamation, Trump stated that these tariffs, which range between 10% and 49%, would reciprocate how U.S. trading partners have historically treated America, ultimately luring industries and employment opportunities back to the United States.

The European Commission President, Ursula von der Leyen, stated that these actions represent a significant setback for the global economy. Meanwhile, Japanese Prime Minister Shigeru Ishiba warned of their substantial effect on U.S.-Japan ties. Additionally, South Korea’s Prime Minister, Han Duck-soo, urged for urgent steps to assist sectors impacted by the new tariffs.

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Here’s the latest:

Norway’s Foreign Minister states that tariffs adversely affect NATO allies.

Norway’s Foreign Minister Espen Barth Eide stated that the additional U.S. tariffs could be at odds with NATO’s Article 2, an agreement that underscores the significance of economic collaboration amongst member nations as a means to prevent conflicts.

“If you desire a robust NATO, it’s essential to foster maximum economic growth within member nations. This idea was central to the founding members, believing that economic collaboration would benefit the whole alliance,” Eide stated during a trip to Brussels for a NATO conference, as reported by the NRK broadcaster.

Eide informed NRK that he plans to address the tariff dispute with U.S. Secretary of State Marco Rubio during their meeting.

The Polish Prime Minister states that tariffs might reduce GDP by 0.4%.

The Polish Prime Minister, Donald Tusk, stated that the newly imposed US tariffs could decrease Poland’s GDP by 0.4%.

He said it was “a severe and unpleasant blow, because it comes from the closest ally, but we will survive it.” The Polish-U.S. friendship, he added, “must also survive this test.”

The Spanish Prime Minister unveils steps to counteract US tariff impacts

On Thursday, Spanish Prime Minister Pedro Sánchez announced that his administration plans to introduce an expenditure program worth $15.6 billion (or 14.1 billion euros) aimed at alleviating the impacts of U.S. tariffs on Europe’s fourth-biggest economy in terms of the eurozone.

The head of Spain referred to the tariffs as “19th-century protectionism,” stating that both the European Union and Spain needed to take proactive steps and broaden their economic relationships across the globe to counter this approach.

Sánchez additionally urged for a negotiated resolution with the U.S., stating, “Once more, we urge President Trump to reassess his position and join us at the negotiation table alongside the European Union and other global partners.”

Australia baffled by tariffs imposed on distant island territories

The head of the local administration in Christmas Island, one of multiple external Australian islands territories which, similar to Australia, face a 10% US tariff, mentioned that their Indian Ocean outpost does not export anything to the United States.

The small Australian settlement with a population under 2,000 residents, located approximately 360 kilometers (225 miles) south of Indonesia’s capital city Jakarta, has been extracting phosphate using American heavy equipment for many years, according to Christmas Island Shire President Gordon Thomson.

The uninhabited Heard and McDonald Islands, located far in the Antarctic and part of Australia’s territories, also fall under the 10% tariff. These largely desolate islands feature two active volcanoes and can only be accessed by sea.

The Australian Prime Minister, Anthony Albanese, stated that Australia does not impose tariffs on goods imported from the United States. Additionally, he highlighted their bilateral free trade agreement between the two nations.

Hong Kong appeals to the U.S. to remove tariffs.

Hong Kong vehemently objected to the additional tariffs introduced by Trump and requested the United States to revoke them. They stated that as a free port, Hong Kong consistently upholds the principles of free trade and does not levy tariffs on imports, which includes products coming from the U.S.

The report indicated that the U.S. maintained a trade surplus of $271.5 billion with the semi-autonomous Chinese region throughout the last ten years, making it the largest surplus compared to all other international trading partners.

Hong Kong’s government stated that the U.S. imposition of tariffs on Hong Kong goods under the guise of reciprocal tariffs makes no sense,” and mentioned they will respond by taking actions such as lodging complaints at the WTO.

Hong Kong, which was previously under British rule and reverted to Chinese control in 1997, operates with an independent economic and political framework compared to mainland China, enabling it to establish its own policies for much of the time.

India aims to speed up trade negotiations with the US.

India’s Commerce Ministry is evaluating the recent tariffs imposed by President Donald Trump. The Indian government aims to speed up discussions for a potential trade deal with the U.S., hoping to secure certain advantages and mitigate the effects of increased duties on imports.

The accord, with the initial segment slated to come into effect by autumn, aims at facilitating increased commerce, investment, and technological exchanges between the two countries. It also seeks to strengthen their supply chains further, according to the statement.

They stated, ‘We continue to maintain communication with the Trump administration and anticipate progressing with them in the upcoming days.’

In 2024, the United States became New Delhi’s largest trading partner, with trade valued at approximately $129 billion. The two nations have now established an ambitious goal to nearly triple their bilateral trade to over $500 billion by the year 2030.

The Vietnamese stock market declines sharply as people flock to purchase gold.

On Thursday, Vietnam’s stock market experienced a sharp decline as gold prices surged to an all-time peak following U.S. President Donald Trump imposing a 46% tariff on Vietnamese goods. In response, residents queued up to purchase gold in Hanoi even though the costs were elevated.

“Gold investment might pose less risk due to the current economic uncertainty,” stated Nguyen Trung, a purchaser.

Dan Martin, an international business advisor at Dezan Shira & Associates, noted that Vietnam has recognized its excessive dependence on the United States and has taken steps towards diversification by entering into free trade deals with more than a dozen nations.

The message is evident now: depending on Vietnam as a U.S. export market isn’t secure,” he stated.

The apparel and sportswear sector, featuring well-known brands such as Adidas and Nike, will be particularly affected. Last year, Nike produced roughly half of its footwear and approximately one-third of its clothing items in Vietnam. Meanwhile, Vietnamese manufacturing facilities accounted for 39% of Adidas’s shoe production and 18% of their garment output.

Tariffs imposed by the U.S. on products from Vietnam rank among the highest compared to those levied on any other nation.

Vietnam’s Prime Minister Pham Minh Chinh stated that the nation was still aiming for an economic growth rate of at least 8%, even with the Trump administration levying 46% duties on its exported goods.

On Thursday, Chinh led a Cabinet meeting to evaluate the effects of the tariffs, which stand as some of the highest ever placed on any nation. He expressed that Vietnam hopes the U.S. policies will remain “in line with the strong relationship shared by both countries.” Additionally, he mentioned that Vietnam continues to address the lingering impacts from their prolonged conflict.

The tariffs will have a significant impact on Vietnam because the U.S. represents its biggest export destination. In 2021, exports to the United States, amounting to $142 billion, constituted one-third of Vietnam’s gross domestic product.

The Ukrainian minister states that her nation could secure more advantageous tariff terms from the United States.

The Ukrainian Economy Minister, Yuliia Svyrydenko, stated on her X profile that Ukraine is striving for improved tariff terms from the United States.

Svyrydenko states that the tariffs imposed by Ukraine on American products are “relatively minimal,” and notes that in 2024, Ukraine brought in more items from the United States compared to what was sent to America.

She stated that the 10% tariff imposed by Trump on Ukrainian products would primarily affect smaller producers. “Ukraine can provide the U.S. with a dependable alliance and partnership. Implementing equitable tariffs would be advantageous for both nations,” she noted in her writing.

Japanese Prime Minister expresses regret over U.S. tariffs and states readiness to discuss with President Trump.

Japanese Prime Minister Shigeru Ishiba expressed deep dissatisfaction, stating it was “highly unfortunate” that the United States imposed a 25% automobile tariff on Japan, particularly considering Japan’s significant economic contributions to the U.S.

Since 2019, Japanese firms, particularly those in the automotive sector, have been the largest investors in the United States, generating employment opportunities for countless Americans, according to Ishiba.

Ishiba stated that Japan will persistently urge the United States to reassess its tariff policies. He also mentioned his intention to engage in direct talks with Trump when deemed fit. Ishiba emphasized, “Without reservation, I will take action at the optimal moment and manner.”

Germany’s Scholz calls tariffs an ‘assault’ on worldwide commerce

German Chancellor Olaf Scholz describes the tariffs as an “assault” on a trade system that has fostered worldwide prosperity, a framework that was largely shaped by the United States itself.

Scholz stated on Thursday that “the entire global economy will bear the brunt of these ill-conceived decisions.” He further noted that “the U.S. administration is embarking on a path where ultimately everyone will lose.”

Scholz stated in Berlin that “this assault targets a trade system that has fostered prosperity worldwide—a system largely shaped by American endeavors.”

Fiji denounces the tariffs as ‘excessive’ and ‘unequitable.’

In the group of tiny island countries scattered across the South Pacific, several faced elevated duty rates above the standard 10%. On Thursday, Fiji’s Deputy Prime Minister Biman Prasad denounced the recently declared 32% duties on his nation’s goods heading to the United States as both “excessive” and “unequitable.”

The U.S. is a major trading partner for the nation of 924,000 people, accounting for 10% of total imports and exports, Prasad said Thursday on social media. Fiji’s biggest export to the U.S. is bottled water, with its most famous brand — Fiji Water — owned by a U.S. conglomerate.

The U.S. government defended the increased duties on Fiji by stating that the island nation levies 63% tariffs on products coming from America. However, Prasad dismissed this statistic, informing journalists that Fiji does not apply such high duty rates to imports from any nation.

“There are no victors in trade wars,” according to China’s Foreign Ministry.

A representative from the Chinese foreign ministry states, “trade wars and tariff conflicts yield no victors, and adopting protectionist policies will not solve these issues. Instead, the United States ought to rectify its incorrect approaches and address trade disagreements with various nations, such as China, via discussions grounded in parity, mutual esteem, and shared advantage.”

Guo Jiakun further stated that these tariffs contravene WTO regulations, “undermine the shared interests of nations worldwide and fail to address America’s own issues. It has become evident that an increasing number of countries are resisting the United States’ aggressive unilateral moves, including tariff imposition.”

The Israeli finance minister states that his office is ‘examining’ the tariff consequences.

Israeli Finance Minister Bezalel Smotrich says his office is studying Trump’s tariff order and “analyzing its implications for the economy,” in the country’s first reaction to Trump’s announcement of a 17% tariff on imports from Israel.

On Wednesday, prior to Trump’s announcement, Israel decided to eliminate all outstanding tariffs on goods imported from the United States. According to a statement released by the Prime Minister’s Office, this change was set to take place following the final endorsement by both the economy minister and the parliamentary finance committee.

In a statement posted on X, Smotrich mentioned he was discussing Trump’s latest directive with key figures from various industries. He also plans to convene with the leadership of the Finance Ministry on Thursday to determine their “next steps” regarding this order.

Spain’s economics minister states that talks with the US are crucial.

Spain’s Economy Minister Carlos Cuerpo stated that reaching an agreement through negotiations with the United States was crucial for Spain, which holds the position of the eurozone’s fourth-biggest economy. However, he also mentioned that the country is ready to implement measures aimed at safeguarding its businesses and sectors.

“There is a great deal riding on this. We must safeguard the highly significant trade and economic ties we share between the world’s two largest collaborators,” Cuerpo stated during an interview with the RNE radio station on Thursday following the U.S.’s announcement of 20% tariffs targeting the European Union.

The German economics minister states that this day will be known as US Inflation Day.

“Today won’t turn into Consumer Liberation Day in the United States; instead, it will be known as Inflation Day,” stated Germany’s Vice Chancellor and Economy Minister, Robert Habeck. “The U.S.’s obsession with tariffs might trigger a chain reaction leading to global recessions and significant economic harm around the world.”

“We have consistently advocated for negotiations over conflict. This position holds true,” Habeck stated. “Therefore, it’s positive that the European Commission continues to pursue a negotiated agreement with the U.S., as there is still ample opportunity for such talks. However, should the U.S. decline a negotiated path, the EU will respond with a well-balanced, decisive, and firm stance. We are ready for this scenario.”

Germany’s primary industry association urges a unified response to tariffs.

The primary industry association in Germany, the Federation of German Industries, stated that “the European Union needs to bolster its partnerships with significant trading allies and should synchronize its response with these countries. Coordinated action is essential to mitigate potential disruptions in global commerce.”

The organization, recognized by its German abbreviation BDI, stated that the tariffs represent “an unparalleled assault on the international trading system, free trade, and global supply chains.” They find the logic behind this protectionist intensification difficult to understand.

For the first time since 2015, the United States became Germany’s largest individual trading partner last year, pushing China into second place.

UK’s Starmer pledges to respond with ‘level-headedness’ to Trump’s tariffs

Prime Minister Keir Starmer stated that the UK government would respond to Trump’s declaration of a 10% tariff on British imports with “levelheadedness and composure.”

Starmer informed business leaders assembled at 10 Downing Street that there would undoubtedly be economic repercussions, yet he expressed hope for lifting tariffs via a trade agreement with Washington.

“Negotiations on an economic prosperity deal — one that strengthens our existing trading relationship — they continue and we will fight for the best deal for Britain,” Starmer said.

“No one emerges victorious from a trade war; it does not serve our nation’s best interests,” he further stated.

The CEO of Honda states that the company requires some duration to ascertain an appropriate response to the tariffs.

The CEO of Honda, Toshihiro Mibe, states that the company will assess various elements including market conditions before deciding how best to address President Trump’s tariffs.

He told reporters on Thursday that sudden changes like these are challenging because it’s difficult to respond quickly.

Taiwan deems US tariffs as ‘highly unreasonable.’

In response to the implementation of a 32% tariff on Taiwan’s advanced technology sector, the country stated it was “highly unreasonable and deeply unfortunate,” further noting that they would be “formally protesting this action to the United States.”

Cabinet spokesman Lee Hui-chih stated in an official press statement that the suggested tax rate fails to accurately represent the economic and trading relationship between Taiwan and the United States, thereby being unjust to Taiwan.

Lee stated that the methodology used for calculating tariffs was both unscientific and opaque, adding that it fails to capture the significant synergy within the trading dynamics between Taiwan and the United States as well as their genuine trade relations.

Lee mentioned that Taiwan’s exports to the United States and its associated trade surplus have increased considerably over recent years. This growth primarily reflects a rise in demand from American consumers for semiconductors and related items, particularly those involving artificial intelligence technology.

UK authorities indicate their intention to advocate for a free trade agreement with the United States.

The UK government states it will strive for a free trade agreement with the United States instead of retaliating following Trump’s imposition of a 10% tariff on British products.

Dismissing the statement as a “letdown,” Business Secretary Jonathan Reynolds expressed, “While I acknowledge that the UK is in a more favorable situation compared to other nations, my satisfaction level remains low.”

Reynolds informed Sky News that the feedback he received from companies was to “stay at the table and avoid overreaction.”

The UK maintains that its trading relationship with the U.S. is largely balanced and has been engaged in negotiations with Washington to secure a trade agreement aimed at avoiding import duties.

The Japanese Prime Minister states that tariffs will significantly affect U.S.-Japan relations.

The Japanese Prime Minister, Shigeru Ishiba, expresses deep worry over the new tariffs and emphasizes that Japan makes substantial contributions to the U.S. economy through investments and employment opportunities.

He mentioned that he frequently presented arguments to the Trump administration against proceeding with the tariffs.

“Not only will they significantly influence U.S.-Japanese economic ties, but they will also affect the worldwide economy and trade relationships as a whole,” Ishiba stated to journalists on Thursday.

“The government will unite to firmly safeguard citizens’ lives, employment, and economic sectors,” he stated additionally.

Thailand has stated it is prepared to discuss the trade imbalance with the United States.

Following President Trump’s announcement of 36% tariffs on Thailand, the Thai Prime Minister has stated that their nation is prepared to engage in negotiations aimed at achieving an equitable trade equilibrium beneficial to both countries.

Paetongtarn Shinawatra stated on Thursday that Thailand is dedicated to collaborating with the U.S. to attain sustainable economic development.

She emphasized that Thai exporters ought to explore new markets for their goods as well, in order to minimize the risks associated with depending heavily on a single primary market.

Indian experts view possibilities in reshaping supply chains.

Indian exporters and analysts indicate that Trump’s new tariffs present a dual impact for the nation.

Trump announced a reciprocal tariff of 26% for India, as compared to 34% for China, 46% for Vietnam, 37% for Bangladesh and 36% for Thailand.

On Thursday, observers noted that this action is expected to affect Indian industries and put job security at risk. However, they also indicated that there could be opportunities for new businesses due to India being placed in a lower category compared to otherAsian countries.

“These tariffs pose certain difficulties; however, India’s stance continues to be relatively advantageous,” stated S.C Ralhan, who serves as the president of the Federation of Indian ExportOrganizations.

Ajay Srivastava, a previous employee in Indian trade affairs and the founder of the New Delhi-based research organization called the Global Trade Research Initiative, suggested that the protectionist tariff system might act as an accelerator for India to benefit from shifts in international supply chains.

Some of the highest tariffs are imposed on South and Southeast Asia.

Countries such as Vietnam, Sri Lanka, along with various nations throughout South and Southeast Asia, face some of the most significant tariff rates.

Trump introduced reciprocal tariffs of 46% on Vietnamese goods, 49% on Cambodian products, 37% on items from Bangladesh, and 44% on those coming from Sri Lanka.

These responsibilities will impact domestic exporters heading to the U.S., as well as businesses from China, Japan, and South Korea. These firms relocated their manufacturing operations to Southeast Asian countries in recent years to avoid trade tensions prevalent during Trump’s initial presidency.

Stellantis, an automaker company, plans to close its manufacturing facility in Windsor, Canada, for two weeks.

Automaker Stellantis plans to close its assembly facility in Windsor, Canada, for a fortnight starting April 7, according to the local union statement released late Wednesday.

James Stewart, the president of Unifor Local 444, stated that additional scheduling alterations would likely occur over the next few weeks.

The firm stated that several elements are contributing to their situation, with the main factor influencing their ultimate choice being President Donald Trump’s announcement today regarding new U.S. tariffs. “This development has generated significant uncertainty throughout the automotive sector,” Stewart explained. “It isn’t only affecting our facility; operations in both the U.S. and Mexico are also experiencing these impacts.”

EU chief states that tariffs pose significant damage to the global economy.

European Commission President Ursula von der Leyen says the tariffs are a “major blow to the world economy.”

“Millions of individuals worldwide will face severe repercussions,” warned von der Leyen. She added that groceries, transportation, and medications will become more expensive, which particularly impacts those who are most susceptible in society.

von der Leyen admitted that the global trade system has “significant flaws,” and stated that the EU is prepared to engage in negotiations with the U.S.

Japan’s top government spokesman denounces tariffs as “highly unfortunate.”

The top Cabinet Secretary of Japan described the tariffs as “deeply unfortunate” and mentioned that they believed their nation should have been exempted, following President Trump’s imposition of a 24% additional tariff on Japanese goods.

On Thursday, Yoshimasa Hayashi also raised doubts about the compatibility of these tariffs with theJapan-U.S. bilateral trade agreements. He further stated that this action could affect not only their economic relations but also have implications for the broader global economy and the multilateral trading system.

He stated that Japanese officials are still in talks with Washington aiming for an exception. When asked about potential counter-tariffs or possible grievances filed with the World Trade Organization, Hayashi chose not to comment.

Asian markets decline after Trump announces new tariffs

The Nikkei 225 in Tokyo fell over 3.4%, the Kospi in South Korea declined by 1.8%, and the S&P/ASX 200 in Australia decreased by 1.8% as well.

U.S. stocks experienced yet another volatile session ahead of President Trump’s announcement regarding new tariffs on Wednesday. The S&P 500 climbed by 0.7%, the Dow Jones Industrial Average increased by 0.6%, and the Nasdaq Composite jumped by 0.9%.

Tesla shifted from a significant early decline to an afternoon increase, helping to boost the overall market. Meanwhile, treasury yields moved from lower levels to higher ones after a stronger-than-predicted jobs report was released.

▶ Learn more about how markets responded to the tariffs

The House majority whip commended Trump’s moves, such as imposing tariffs, at a townhall event.

During an hour-long tele-townhall with his constituents in Minnesota, House Majority Whip Tom Emmer faced largely supportive queries over the phone.

House Speaker Mike Johnson has advised Republican legislators to steer clear of conducting face-to-face town hall meetings to prevent potential confrontational inquiries and protests.

Emmer extensively praised the actions that Trump has been taking in his first months back in office, including the tariffs he announced earlier Wednesday.

Let’s show this person some compassion as they attempt to implement policies they’ve advocated for over the past few years, particularly their commitment to safeguarding American businesses and employees,” Emmer stated. “We may encounter rough patches ahead, but once we navigate through them, things will improve significantly compared to how they were before, and undoubtedly far better than during the previous four-year period.

The South Korean Prime Minister has called for urgent actions to aid sectors impacted by the tariffs.

The interim leader of South Korea urged immediate action to implement urgent measures aimed at aiding the automobile sector and other enterprises that might be impacted by the fresh tariffs imposed by the Trump administration. He assured comprehensive governmental support to tackle what he characterized as an impending “worldwide tariff conflict.”

At an urgent governmental assembly, Prime Minister Han Duck-soo directed authorities to collaborate with corporate entities for assessing the effects of heightened tariffs imposed by the United States. He emphasized the necessity of proactive discussions with Washington aimed at “mitigating harm” to South Korea’s economic landscape, as stated by the commerce department.

While President Yoon Suk Yeol faces impeachment following his declaration of martial law in December, Han has taken on the role of acting leader in South Korea. He called for an emergency meeting with trade and foreign policy experts shortly after Trump imposed a 25% tariff on goods from South Korea.