Trade Wars Wreak Havoc: Industries and Investors Grapple with U.S. Tariff Turmoil

Mounting uncertainty from U.S. trade policies under President Trump has unsettled industries and investors, fearing recession. Industries struggle with planning amid tariff threats, while some European companies consider passing tariff costs to consumers. Economic and political uncertainties continue to challenge businesses globally, especially impacting consumer spending.

U.S. President Donald Trump's aggressive trade policies and tariffs have thrown global industries and investors into turmoil as they grapple with unpredictable market conditions. From sportswear to luxury cars, companies are feeling the pinch as they attempt to navigate the murky waters of increased tariffs on U.S. steel and aluminum imports.

The ripple effects of these trade disputes are being felt worldwide. German automaker Porsche, for instance, is contemplating raising U.S. consumer prices to offset potential tariffs. Two major South Korean steelmakers are considering increasing their investments in U.S. operations in light of the new taxes. Economists fear a looming U.S. recession could soon materialize if these trade tensions escalate further.

Despite the volatility, there is cautious optimism among some companies for a resolution. Inditex, the parent company of Zara, remains optimistic about the U.S. market despite trade uncertainties, although it reports a slowdown in sales growth. Investors hope for clarity and stability as businesses adapt to the ongoing geopolitical shifts.

(With inputs from agencies.)