Chinese and Taiwanese stock markets have faced serious losses due to new U.S. tariffs and geopolitical tensions.
Impact of U.S. Tariffs on Asian Markets
Against the backdrop of escalating trade relations between the United States and China, the Chinese market dropped by 10%, while the Taiwanese market fell by 9.8% on April 7, 2025. The announcement of new tariffs by U.S. President Donald Trump has been a significant factor affecting these markets.
Taiwan's Response to Economic Situation
Taiwan’s Premier Cho expressed concerns about upcoming economic instability. 'Taiwan's central bank and the Financial Supervisory Commission are monitoring the situation and will provide necessary assurances to mitigate the impact,' stated Cho Jung-tai. The technology sector, critical to Taiwan's economy, is already feeling the pressure from the tariffs announced.
Economists Predict Market Future
Economic advisors predict prolonged market instability. The technology sector, exposed to international market fluctuations, continues to face sustained pressure. Past market downturns seen during global financial crises draw parallels with current events. Immediate government intervention seems necessary to prevent further declines.
Issues related to U.S. tariffs are severely impacting the stability of Asian markets, while Taiwanese leadership works on measures to maintain investor confidence.
