This is CNBC’s live blog covering Asia-Pacific markets.
Japanese stocks led declines in Asia-Pacific markets, after U.S. President Donald Trump made it clear that tariffs on Mexico and Canada would go into effect as planned.
The benchmark Nikkei 225 index plunged 1.20% to end the day at 37,331.18, while the broader Topix index lost 0.71% to close at 2,710.18.
Japan’s employment rate for January came in at 2.5%, slightly higher than Reuters’ estimates of 2.4%.
South Korea’s Kospi index ended the day 0.15% lower at 2,528.92, while the small-cap Kosdaq retreated 0.81% to 737.90.
The country’s retail sales for January fell 0.6% from the previous month. Revised estimates show a rise in the 0.2% rise in the metric in December.
Hong Kong’s Hang Seng index was down 0.16% in its last hour of trade.
Investors kept a watch on Chinese stocks as the mainland kicks off its annual parliamentary gathering, known as the “Two Sessions.” Mainland China’s CSI 300 index ended the day flat at 3,885.22.
Australia’s S&P/ASX 200 ended the day 0.58% lower at 8,198.10.
The country’s retail sales for January rose 0.3% in line with Reuters estimates. Retail sales had declined 0.1% in December.
Indian’s benchmark Nifty 50 was trading down 0.28%, while the BSE Sensex index lost 0.27% as at 1.15 p.m. local time.
Overnight in the U.S., all three major indexes fell as Trump reiterated that 25% levies on imports from Mexico and Canada would go into effect Tuesday stateside.
The S&P 500 fell 1.76% to end the day at 5,849.72. This marks its worst day since December and brings its year-to-date performance to a loss of about 0.5%. The Dow Jones Industrial Average dropped 649.67 points, or 1.48%, to finish at 43,191.24. The Nasdaq Composite slid 2.64% to close at 18,350.19, weighed down by Nvidia‘s decline of more than 8%.
— CNBC’s Alex Harring and Yun Li contributed to this report.
China retaliates with additional tariffs of up to 15% on some U.S. goods from March 10
China announced Tuesday it would impose additional tariffs of up to 15% on some U.S. goods from March 10, and restrict exports to 15 U.S. companies.
The retaliatory measures from China’s Ministry of Finance and Ministry of Commerce came just as additional U.S. tariffs took effect on Chinese goods.
The additional Chinese tariffs largely cover U.S. agricultural goods, including corn and soybeans, according to the finance ministry’s website. Companies affected by the export controls include Leidos and General Dynamics Land Systems, according to the commerce ministry.
Read the full story, here.
— Evelyn Cheng
South Korea’s factory output shrinks in February
S&P Global purchasing managers’ index for South Korea fell to 49.9 in February, from 50.3 the month before.
This marks the fourth time in the last six months that the index has fallen below 50 level, which separates expansion from contraction.
“Another muted month of data from the South Korea Manufacturing PMI survey by S&P Global provides evidence that domestic industrial activity remained subdued midway through the first quarter,” said Usamah Bhatti, Economist at S&P Global Market Intelligence.
“Although manufacturing output and sales increased during the month, the rates of expansion were marginal, amid ongoing reports of soft domestic demand conditions,” she wrote in a note.
Bhatti noted that the the outlook for the coming months “appears uncertain, as firms recorded the steepest decline in employment levels since July 2022, along with a renewed decrease in outstanding business.”
— Amala Balakrishner
Shares in Seven & i Holdings plunge over 9% after it reportedly plans to reject Alimentation Couche-Tard’s takeover bid
Shares of Japan’s Seven & i Holdings plunged as much as 9.34% Monday, following reports by the Yomiuri newspaper that it plans to reject a takeover bid from Canadian convenience store operator Alimentation Couche-Tard.
Instead, Seven & i is looking to enhance its corporate value on its own, the report added.
The drop in its shares is a reversal from the uptick on Monday following reports that it was looking to appoint Stephen Hayes Dacus as president.
Dacus, who is currently the lead independent director at Seven & i Holdings’ retail group, will be taking over from Ryuichi Isaka who is stepping down. The company will make a formal decision at a board meeting.
— Amala Balakrishner
TSMC shares drop 2% as Trump says company to invest $100 billion in the U.S.
Shares in Taiwan Semiconductor Manufacturing Company lost more than 2% Tuesday, after U.S. President Donald Trump said the company would invest $100 billion in the U.S. to bolster chip manufacturing.
Trump said the investment was a “tremendous move by the most powerful company in the world.“
This brings TSMC’s total investment in the U.S. to $165 billion.
The new investment from TSMC, which supplies semiconductors to major companies including Nvidia and Apple, will bolster the Trump administration’s efforts aimed at making the U.S. an artificial intelligence hub.
TSMC stock also took a hit from the drag in Nvidia‘s shares, which fell 8.69% overnight.
— Amala Balakrishner
SoftBank shares fall over 5%
Shares of Japanese investment firm SoftBank Group fell as much as 5.81%, following the 8.69% fall of Nvidia‘s shares overnight.
The drop in SoftBank’s shares is a reversal from the marginal uptick on Monday and comes after reports by The Information last Saturday that the company’s CEO Masayoshi Son planned to borrow $16 billion to invest in artificial intelligence.
SoftBank may borrow another $8 billion in early 2026, the report added.
Last month, CNBC reported that the company was close to finalizing a $40 billion primary investment in ChatGPT-owner OpenAI at a $260 billion pre-money valuation, as part of its vision to deepen its presence in the AI space.
— Amala Balakrishner
Trump tells Japanese and Chinese leaders they ‘can’t continue to reduce and break down your currency’
U.S. President Donald Trump told Japanese and Chinese leaders that they cannot devalue their currencies as it would be unfair to the U.S., according to Reuters.
“I’ve called President Xi, I’ve called the leaders of Japan to say you can’t continue to reduce and break down your currency,” Trump reportedly said on Monday.
“You can’t do it because it’s unfair to us. It’s very hard for us to make tractors, Caterpillar here, when Japan, China and other places are killing their currency, meaning driving it down,” he added.
The Japanese yen on Tuesday traded 0.07% lower at 149.43 against the U.S. dollar. Meanwhile, the offshore Chinese Yuan strengthened marginally by 0.04% to 7.3037 against the U.S. dollar.
— Amala Balakrishner
Japan reports unemployment of 2.5% in January, slightly higher than estimates
Japan’s unemployment rate for January edged up to 2.5% in January, compared with the 2.4% in the previous month, government data released Tuesday showed.
The latest reading is also slightly higher than Reuters poll estimate of 2.4%.
The country’s jobs-to-applicants ratio, came in at 1.26, slightly higher than the 1.25 forecast by Reuters.
— Amala Balakrishner
Nvidia falls more than 9%
AI darling Nvidia pulled back nearly 10% on Monday as the broader market sold off after President Trump confirmed tariffs on Canada, China and Mexico would begin on Tuesday.
Shares are continuing a slide from last week that was tied to margin concern.
The Wall Street Journal reported on Sunday that Chinese buyers were finding ways to buy Nvidia’s chips despite Trump’s attempts to limit sales to Beijing.
— Brian Evans
Defensive stocks trade higher after Trump confirms tariffs
Defensive stocks took a leg higher Monday afternoon after President Trump confirmed Tuesday’s tariffs.
Shares of Philip Morris International added around 2%, while PepsiCo, Procter & Gamble and Johnson & Johnson all gained around 1%.
This was in contrast to a broad risk-off move that sent stocks such as Broadcom and Ford lower.
— Lisa Kailai Han
Canada, Mexico ETFs fall
Exchange-traded funds tied to Mexico and Canada ETFs slid after President Trump’s confirmation of tariffs on both countries. Here is a snapshot.
— Sarah Min
