讀後心得

U.S. President Trump announced global tariffs, and China immediately responded with the same tax rate. The U.S. stock market plunged for two consecutive days, with a total market value evaporating by approximately $6 trillion. The Dow Jones Industrial Average fell by 2,231.07 points, marking the largest decline since the pandemic. The S&P 500 index and the Nasdaq index also dropped significantly, indicating that the U.S. stock market bull run may have come to an end. Global reactions to Trump’s high tariff policy vary, especially with Vietnam seeking to lower import tax rates to reduce the impact, while China maintains a tough stance. Analysts predict that economic growth will be subject to long-term impacts.

After the U.S. President announced tariffs on a global scale, China also imposed the same rates in response, resulting in a significant drop in U.S. stocks on Friday, creating a new record with consecutive declines over 1500 points for two days, leading to a total market value evaporating by about 6 trillion dollars. The reason for this sharp decline in U.S. stocks is the unpredictability of the impact brought about by the policy changes.

The Dow Jones Industrial Average plummeted by 2231.07 points, or 5.50%, after China announced a 34% tariff on U.S. imports, marking the largest drop since the pandemic began in 2020, and it is the first time in history that there have been two consecutive days with declines exceeding 1500 points. The Dow dropped a total of 3910.46 points over the two days, falling below the 40,000 mark, and closed at 38,314.86 points on Friday.

The S&P 500 index fell by 322.44 points, or 5.97%, registering its largest decline since March 2020, with a total drop of 596.89 points over the two days, closing at 5074.08 points. Since its recent peak, the S&P index has declined by 17%, nearing bear market territory. The Nasdaq index also dropped by 962.82 points, or 5.82%, closing at 15,587.79 points, officially entering a bear market.

The tech industry is concerned about the momentum of artificial intelligence growth over the past two years being impacted by the tariff war. The "Seven Magnates of Tech" in the U.S. stock market, such as Apple and Nvidia, both declined by over 15% within two days, while Tesla dropped 10% today, with all three companies deeply involved in the Chinese market. This significant drop in U.S. stocks is not comparable to the 2008 mortgage crisis or the COVID-19 pandemic in 2020, but instead arises from the implementation of new economic policies and changes in the global supply chain structure.

While countries around the world express dissatisfaction with high tariffs, they still hope to engage with the U.S. to reduce the levies; however, Trump has stated that the policy will not change. Vietnam, as a major country with a trade surplus with the U.S., plans to reduce the tax rate on U.S. imports to 0% in hopes of alleviating the pressure caused by Trump's 46% high tariffs. In contrast, China remains firm, imposing a 34% rate on U.S. goods as well.

Analysts generally believe that the years-long U.S. stock market bull run has ended due to the tariff war provoked by Trump, making short-term dips unavoidable, and the long-term impact on economic growth is also difficult to predict.

• Small European countries have only a 10% tariff on the U.S., and companies want to relocate to avoid taxes.
• Trump's tariffs have impacted the Japanese market, with Japanese stocks collapsing nearly two thousand points over two days.
• Trump's tariff policy has sparked panic, with the United Nations pointing out that raising tariffs will harm the vulnerable and the poor.
• The WTO predicts that global trade volume will shrink by 1% this year.