A flag of China proudly flies over The Bund.
Liu Liqun | Corbis Documentary | Getty Images
Asia-Pacific markets experienced gains on Monday as U.S. President Donald Trump halted tariffs on certain consumer electronics, enhancing overall risk appetite.
Japan’s flagship Nikkei 225 opened the day with a rise of 1.82%, while the broader Topix index increased by 1.77%.
In South Korea, the Kospi index gained 1.29% at the opening, and the small-cap Kosdaq rose by 1.22%.
In Australia, the S&P/ASX 200
was up 0.72%.
Futures for Hong Kong’s Hang Seng index stood at 21,059, indicating a stronger opening compared to its last close of 20,914.69 on Friday.
Trump has exempted smartphones, computers, and other devices and components, including semiconductors, from his new “reciprocal” tariffs, as per guidance from U.S. Customs and Border Protection released late Friday.
However, both Trump and Commerce Secretary Howard Lutnick indicated on Sunday that these exemptions might not be permanent, leading to additional uncertainty.
Trump stated in a post on Truth Social that these products would still be “subject to the existing 20% Fentanyl Tariffs, and they are merely shifting to a different Tariff ‘bucket.'”
Additionally, several countries in the region are gearing up for trade discussions with the U.S. this week.
Trump is pursuing negotiations with nations including Vietnam, India, South Korea, and Japan, focusing on existing trading partners that are crucial for countering China, according to reports from Politico citing sources close to the White House.
Japan’s leading trade representative, Akazawa Ryosei, is expected to visit the U.S. this week for discussions with U.S. Treasury Secretary Scott Bessent and U.S. Trade Representative Jamieson Greer, according to local broadcaster NHK.
— Contributions to this report were made by CNBC’s Sean Conlon, Hakyung Kim, and Pia Singh.
