The offshore yuan depreciated toward 7.32 per dollar on Thursday, touching a one-month low in the earlier session, as market sentiment soured following US President Donald Trump’s announcement of a more aggressive and expansive tariff policy. Trump imposed an additional 34% tariff on Chinese goods, pushing the total levies on China to 54%. This move represents the largest-ever tariff increase on nearly all Chinese exports, potentially devastating China’s shipments to the US. Other major global economies are also facing significant tariffs, with the EU seeing a 20% levy, Japan at 24%, and India at 26%, along with a 10% baseline tariff on imports from all countries. These new tariffs, set to take effect on April 5 for the base rates and on April 9 for the higher reciprocal rates, have further heightened fears of an escalating global trade war.
