Stock indexes fell after the Trump administration's new tariffs on goods from Canada, Mexico, and China - three of the United States’ largest trading partners - went into effect.
The new tariffs, which took effect on Tuesday (Polish time), impose a 25% duty on all imports from Mexico and Canada, while tariffs on Chinese goods were raised by 10%.
Beijing responded swiftly, with China’s Ministry of Commerce calling the decision an act of intimidation and urging the U.S. to withdraw what it described as "irrational, baseless, and harmful" tariffs.
Canada’s prime minister also announced retaliatory tariffs on U.S.-made consumer goods, and Mexico is reportedly considering similar measures.
William Bain, head of trade policy at the British Chambers of Commerce, told the BBC, "A global trade war is going to be lose-lose for the economy and for business."
On Tuesday morning local time, the Warsaw Stock Exchange followed the broader European market trend with declines in response to the new U.S. tariffs.
Analysts note that while China and Canada’s reactions have been measured so far, escalating trade tensions - especially with Europe - could further unsettle global markets.
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Source: PAP/BBC/BCC/X/@britishchambers