"U.S. Tariffs Reach Highest Level in Over 100 Years... Concerns Over Global Economic Impact"

China 104%, Cambodia 49%, Vietnam 46%, and Others

Concerns are emerging that the global economy will be impacted as the reciprocal tariffs announced by U.S. President Donald Trump took effect on the 9th (local time).

Major foreign media outlets, including Bloomberg News, evaluated that the average U.S. tariff rate has reached its highest level in over 100 years since 1909. President Trump applied the highest level of tariffs to about 60 countries, including China, that have trade surpluses with the United States.

It is expected that Asia will be significantly affected. China faces a total tariff rate of 104%. High reciprocal tariffs are imposed on Cambodia (49%) and Vietnam (46%). The European Union (EU) faces a reciprocal tariff rate of 20%.

Financial markets worldwide are experiencing significant turmoil. The yield on 30-year U.S. Treasury bonds surged more than 20 basis points (1bp = 0.01 percentage points) to 4.98% annually compared to the previous day, spreading selling pressure in the bond market. Asian stock markets, including Japan and Taiwan, are also showing downward trends.

If U.S. trading partners respond with retaliatory tariffs, the trade war could escalate further. The Canadian government announced that it would immediately impose a 25% retaliatory tariff after tariffs were applied to its automobiles. France and Germany are also preparing similar responses.

The Trump administration plans to conduct negotiations with individual countries in parallel with the reciprocal tariffs. Among the 70 countries that expressed willingness to negotiate, the U.S. intends to prioritize discussions with allies such as South Korea and Japan.

Meanwhile, there is considerable internal opposition within the United States regarding this reciprocal tariff measure. Republican Senator Tom Tillis said at a congressional hearing on the 8th, addressing Jamie Gorelick, the U.S. Trade Representative (USTR), "I hope the results of the tariffs are good, but I am skeptical."