SINGAPORE: Singapore shares fell more than 3% as trading began on Friday (Apr 11) following the United States raising tariffs on Chinese goods to 145%. The fresh hikes were confirmed by the US on Thursday.
According to The Business Times, the Straits Times Index (STI) dropped 3.2% to 3,465.15 in early trade, with 178 stocks declining compared to 40 that gained after 102.4 million securities valued at S$239.3 million were traded.
US President Donald Trump had earlier slapped a baseline 10% tariff on most US trading partners, but on Wednesday, he said there would be a 90-day pause on higher duties for dozens of countries. The pause took effect on Thursday and will be lifted by Jul 9, based on a White House order.
At the same time, the US President raised tariffs on Chinese imports to 125%. That’s on top of an earlier 20% hike linked to claims that China is tied to the fentanyl supply chain. With the new hikes, total tariffs on Chinese goods this year have climbed to 145%, adding to older duties set by past administrations.
However, the latest 125% increase excludes product imports of steel, aluminium, and autos, as they’re already facing separate 25% tariffs. It also does not apply to copper, energy products, lumber, pharmaceuticals, and semiconductors, The Business Times reported on Thursday.
At Friday’s open, local banks were down. DBS dropped 4.5%, or S$1.80, to S$37.87. OCBC declined 4.2%, or S$0.65, to S$14.78, and UOB fell 3.3%, or S$1.10, to S$32.11.
Other STI stocks also declined. Ground handler Sats retreated 6.4%, or S$0.17, to S$2.48. Seatrium fell 4.6%, or S$0.08, to S$1.66. Yangzijiang Shipbuilding dropped 2.6%, or S$0.05, to S$1.89.
CapitaLand Investment also dipped 1.6%, or S$0.04, to S$2.46, while Genting Singapore slipped 0.7%, or S$0.005, to S$0.69.
Still, a few stocks bucked the trend. Singapore Exchange (SGX) rose 0.2%, or S$0.03, to S$12.58 as trading activity increased over the week. Singtel also gained 0.6%, or S$0.02, to S$3.51, leading the market’s trading volume at 9:34am, with 15.4 million shares changing hands.
The fall in Singapore followed another weak session on Wall Street just after a brief relief rally on Wednesday. The S&P 500 dropped 3.5% to 5,268.05 after jumping 9.5% the day before. The Dow Jones Industrial Average lost 2.5% to 39,593.66, and the Nasdaq Composite Index fell 4.3% to 16,387.31. /TISG
Read also: STI falls 2.28%: Singapore stocks slip further as Trump’s 104% tariff on China sparks global jitters
Featured image by Depositphotos (for illustration purposes only)
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