Breaking…Stock Market Bottom falling out 4/3/2025 Morning…Europe make’s Gains…..

Mr. Trump had said for weeks that he would impose “reciprocal tariffs” on allies and adversaries, but the tariffs announced on Wednesday were far higher than experts had expected, and are likely to drive up prices for American consumers and manufacturers.

In Brussels, Ursula von der Leyen, the European Commission president, said that the bloc would be united in its response. “If you take on one of us, you take on all of us,” she said. President Emmanuel Macron of France called on European companies to suspend all investments in the United States “until things have been clarified” over the tariffs.

The duties posed a particular threat to attempts to revive the largest economy in Europe, Germany’s, which has been stagnant.

The response from Japan, the largest overseas investor in the United States, was more restrained. Prime Minister Shigeru Ishiba called the tariffs “extremely regrettable.” But he refrained from talk of retaliation, saying that his government was trying to impress upon the Trump administration that Japan is helping the United States to industrialize again.

Britain also did not suggest it would immediately retaliate. Instead, Prime Minister Keir Starmer said negotiations toward a trade deal with the United States would continue.

Business groups, trade experts, economists, Democratic lawmakers and even a few Republicans swiftly denounced the tariffs, while some industries scrambled to understand how they would be affected.

Mr. Trump framed his policies as a response to a national emergency, saying that tariffs were needed to boost domestic production. Asked about the market tremors, the secretary of commerce, Howard Lutnick, told CNBC that American markets would do “extremely well” in the medium to long term.

Mr. Trump could have tried to fix the rules governing global trade, which he says allies have abused to the detriment of the U.S. economy and American consumers, said Eswar Prasad, a professor of trade policy at Cornell University. Instead, he said, “Trump has chosen to blow up the system governing international trade.”

Here’s what else to know:

• Tariff rates: The United States will subject Chinese goods to a new tariff of 34 percent, on top of the tariffs that Mr. Trump imposed since January. The European Union’s tariff was set at 20 percent, Japan’s at 24 percent, Britain’s at 10 percent and India’s at 26 percent. Mr. Trump said little about the methodology behind those calculations.

• Markets fall: The market reaction suggested that the scale of the tariffs had come as a surprise. Benchmark indexes dropped more than 3 percent in Japan and nearly 2 percent in Hong Kong and South Korea. The Stoxx Europe 600 was down more than 2 percent and Brent crude, the international oil benchmark, dropped by 3 percent.

• Loophole closed: Mr. Trump also scrapped a loophole called the de minimis rule, which has been used by many e-commerce companies to send low-cost goods to the United States from China without having to pay taxes.

• Auto tariffs: New tariffs on all automobiles made outside the United States took effect, adding to previous tariffs on steel, aluminum and other imports that Mr. Trump has imposed since returning to office in January…..

More…

Note…

Reporters are ALREADY asking when will Trump ‘back off’…..

Lutneck says they stay….

Folks?

Trump WILL back off….

Just how long will he hold up against the pressure….

Politics…