Breaking News: Asia-Pacific Markets Mixed as Trump Hints at New Tariffs
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SINGAPORE – Asia-Pacific markets are displaying a mixed outlook Wednesday morning, following a negative close in U.S. markets on Tuesday. The developments come as former U.S. President Donald Trump signaled the potential implementation of new tariffs,especially targeting semiconductors and pharmaceuticals,within the coming week.
Australia’s S&P/ASX 200 is expected to open lower, wiht futures currently at 8,739, down from Tuesday’s close of 8,770.4. In contrast, Japan’s Nikkei 225 is poised for a slightly higher open, with Osaka futures trading at 40,555 against the index’s previous close of 40,549.54. Hong Kong’s Hang Seng Index futures indicate a weaker start, standing at 24,812 compared to the HSI’s last close of 24,902.53.
– lee Ying Shan
U.S. Markets Close lower Amid Economic Uncertainty
U.S. stock markets finished Tuesday’s session in negative territory. The S&P 500 decreased by 0.49%, closing at 6,299.19. The Nasdaq Composite experienced a more significant decline, falling 0.65% to 20,916.55. The Dow Jones Industrial average edged down 61.90 points, or 0.14%, settling at 44,111.74.
– Sean Conlon
Trump Outlines Potential Trade Policy Shifts in CNBC Interview
former U.S. President Donald Trump during a visit to Lehigh Valley International Airport in Allentown, Pennsylvania, on August 3, 2025.
Anna Moneymaker | Getty Images
During an interview on CNBC’s “Squawk Box” program, former President Donald Trump detailed potential changes to U.S. trade policy. He announced plans to unveil new tariffs on semiconductors “within the next week or so,” emphasizing a desire to incentivize domestic chip manufacturing. The proposed tariffs are intended to encourage companies like Intel (headquartered in Santa Clara, California) and Taiwan Semiconductor Manufacturing Company (TSMC, with a significant presence in Phoenix, Arizona) to expand production within the United States.
Trump also indicated that tariffs on pharmaceuticals could reach as high as 250%, a significant increase from current levels. This move could impact pharmaceutical companies such as Pfizer (New York City) and Merck & Co.(Rahway, New jersey), potentially raising drug prices for consumers.He specifically mentioned targeting countries like China and India, major exporters of pharmaceutical ingredients.
Regarding the future leadership of the Federal Reserve, Trump stated he is considering four candidates for the position of Chair, excluding current Treasury Secretary Scott Bessent. The potential nominees were not publicly named during the interview, but sources suggest individuals with backgrounds in economics and finance are being evaluated. The current Federal Reserve Chair is Jerome Powell, whose term expires in February 2026.
– Kevin Breuninger, Annika Kim Constantino, Jeff cox, Sean Conlon
