SHANGHAI, CHINA – AUGUST 14, 2025 – Vacationers are visiting the Bund in Shanghai, China on August 14, 2025.
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Asia-Pacific markets fell Monday after China and the U.S. tightened commerce restrictions and traded contemporary accusations, renewing tensions between the world’s two largest economies.
Hong Kong’s Hold Seng index declined 2.22%, whereas mainland China’s CSI 300 traded 2.73% decrease.
China on Sunday stated “we aren’t afraid of” a commerce struggle with america after President Donald Trump vowed to impose punishing new retaliatory tariffs on Chinese language imports.
A spokesperson for China’s Ministry of Commerce accused the U.S. of a “textbook double commonplace” with Trump’s promise on Friday to tack on further 100% tariffs on these imports after China imposed new export controls on uncommon earths minerals.
The latest coverage bulletins might sign that China intends to push for higher concessions from the U.S., Goldman Sachs wrote in a observe Sunday.
Australia’s ASX/S&P 200 misplaced 0.68%. South Korea’s Kospi plunged 2.35%, and the small-cap Kosdaq declined 2.24%.
Japan markets are closed for the vacations.
In a Fact Social submit on Sunday, Trump steered to traders the president might not observe by way of on his menace to submit a “large improve of tariffs” on China.
That touch upon Friday introduced the U.S. commerce struggle with China again to the fore, and despatched shares tumbling in a rout that worn out $2 trillion in market worth.
“Don’t fret about China, it’s going to all be positive! Extremely revered President Xi simply had a foul second. He would not need Despair for his nation, and neither do I,” Trump wrote. “The united statesA. needs to assist China, not damage it.”
On Friday stateside, the three U.S. main averages declined.
Shares accelerated promoting into the shut, with the Dow Jones Industrial Common closing down 878.82 factors, or 1.9%, at 45,479.60. The S&P 500 misplaced 2.71% to settle at 6,552.51, whereas the Nasdaq Composite fell 3.56% to 22,204.43. The broad-based index’s decline was the biggest since April 10.
