Global Markets Struggle as New Trump Tariffs Take Effect

The implementation of increased U.S. tariffs on steel and aluminum imports has deepened uncertainty across industries, with businesses from luxury cars to chemicals and retail warning of potential financial struggles.

Corporate Reactions to Trade War Escalation

The new tariffs, aimed at boosting American trade interests, have sparked immediate retaliation from Europe and raised concerns about a possible U.S. recession. Analysts say the constant policy shifts under President Donald Trump are disrupting corporate planning and investments.

“Nearly everyone in the economy is struggling to comprehend wild swings in Washington policies,” said Stephen Dover, chief strategist at Franklin Templeton.

Industries Hit Hard by Tariffs

🔴 Automakers – Porsche is considering raising car prices in the U.S. to offset a potential 25% tariff on imports from Europe.
🔴 Retail & Fashion – Puma’s shares dropped nearly 25%, hitting a nine-year low, due to slowing demand in the U.S. and China.
🔴 Chemical Industry – German chemical distributor Brenntag warned of ongoing global economic uncertainty in 2025.

U.S. Economy at Risk?

J.P. Morgan’s chief economist Bruce Kasman said there is a 40% chance of a U.S. recession this year, which could increase to 50% if Trump follows through on more tariffs in April.

Meanwhile, aluminum prices in the U.S. have hit record highs, and businesses warn that tariffs could drive up consumer prices across industries.

Despite the economic warning signs, Trump dismissed recession concerns, stating: