Market Turmoil: U.S. Tariffs Shake Asian Shares

Asian markets faced a downturn on Friday after the United States announced new tariffs on dozens of international trading partners, creating waves of uncertainty among investors. U.S. President Donald Trump signed an executive order that introduces tariffs ranging from 10% to 41% on imports from various countries. India's exports to the U.S. now face a 25% duty, while Taiwan and Thailand's duties are set at 20% and 19% respectively, with South Korea at 15%.

Canadian goods will see increased tariffs of 35%, up from 25%, pending renegotiations outside the U.S.-Mexico-Canada trade agreement. Meanwhile, Mexico received a temporary reprieve to amend trade agreements. Taiwan's President Lai Ching-te expressed optimism that the new rates are temporary and could be reduced soon following successful negotiations.

Global financial markets reeled from these developments, as MSCI's index for Asia-Pacific shares outside Japan dipped 0.7%, bringing total losses for the week to 1.8%. U.S. influence extended to commodity and forex markets, with the dollar index climbing 2.5%, marking its highest level in two months, while the yen weakened significantly. The focus now shifts to impending U.S. jobs data, seen as critical in shaping Federal Reserve policy moving forward.

(With inputs from agencies.)