Throughout Asia, factory workers, directors, trade bodies, and experts expressed worry on Thursday about U.S. President Donald Trump’s harsh tariffs, fearing potential job losses and significant impacts on crucial parts of the industrial sector.
Trump ramped up a global trade war as he imposed sweeping levies on imports into the United States on Wednesday, sparking worries about what the implications might mean for workers and businesses.
“Cao Thi Dieu, who assists in manufacturing footwear for Western companies like Nike and Adidas at a plant in Ho Chi Minh City, mentioned, ‘I am unable to eat or sleep properly due to constant concerns over potentially losing my employment,'” she explained.
Vietnam faced substantial tariffs amounting to 46 percent as part of President Trump’s widespread trade actions, leading to a share price drop exceeding seven percent in Hanoi on Thursday.
God, 38, was concerned that the tariffs might affect the job she had been performing for twenty years.
“What will I do if I lose my job? How can I keep making enough money every month for my two children’s schooling?” she asked.
“I only want to stay in the shoe manufacturing job because I don’t know how to do other work.”
Erik Hon, who is 45 years old and works as a director at a financial technology company in Singapore, believed that the tariffs would lead to increased global inflation.
“Everyone faces risks when the leading nation retreats into isolationism and attempts to curb China’s inevitable rise as the new global leader,” he said additionally.
Alicia Garcia-Herrero, who serves as the chief economist for Asia-Pacific at investment firm Natixis based in Hong Kong, cautioned that the tariffs might prove counterproductive.
She stated that the biggest victim is the United States since everyone is subject to taxation, leaving no way to avoid the impact of increased inflation.
‘Worst-case scenario’
Chrissy Chan, a 48-year-old business owner from Malaysia, expressed concern to AFP about the potential increase in expenses for traveling to the United States to see her family.
However, she mentioned that the tariff rates “don’t seem logical to me… I wouldn’t be shocked if the Trump administration reverses course again.”
The president of the SME (Small and Medium Enterprises) Association of Malaysia, Chin Chee Seong, stated that increased tariffs on other nations could provide Malaysian businesses with a competitive edge.
However, “we bring in many IT products from the United States,” he informed AFP.
By implementing a reciprocal tariff, local consumers will face higher costs. This will affect us negatively. The impact goes both ways.
To steer clear of Trump’s tariffs, Taiwan has aimed to increase its investments in the U.S., boost purchases of American energy products, and enhance defense expenditures.
However, Trump imposed a significant 32 percent tariff on goods from Taiwan. Although the nation’s crucial semiconductor exports were exempted, Taipei characterized this action as “unjust.”
Jason Hsu, a senior fellow at the Hudson Institute think tank and formerly an opposition Kuomintang lawmaker from Taiwan, noted that the 32 percent figure was quite unexpected, suggesting even the government seemed unprepared.
The consequences are quite significant. I believe the administration needs to carefully consider adopting an entirely fresh perspective when addressing Trump over the coming four years.
Andrew Kam Jia Yi, an associate professor from the National University of Malaysia, anticipated that Taiwan would push for additional exceptions.
Trump “gives you the worst-case scenario then batters you down to a deal that you might not want but seems more reasonable than the original threat”, he said.