Stocks tumble as global investors brace for Trump's April 2 tariffs

Hi everyone. I’m Stephanie LI.Coming up on today’s programUS so-called “reciprocal” tariffs are set to take effect, triggering widespread opposition and market uncertainty;Leapmotor tops Li Auto to become China's best-selling NEV startup in March.Here’s what you need to know about China in the past 24 hours The new US administration is set to announce the reciprocal tariffs on Wednesday local time, prompting widespread concern and opposition over the uncertainty they could unleash, according to media reports.As the date approaches, global financial markets including the US stock market have experienced a rollercoaster ride as investors' anxiety continues to worsen.Asia-Pacific markets were mostly down Wednesday as investors brace for US President Donald Trump to roll out fresh tariffs. US stocks closed mixed on Tuesday following a volatile session on Monday. The S&P 500 and the Nasdaq Composite posted on Monday their worst quarterly performances since 2022, as uncertainty around the Trump administration's economic agenda roiled US equity markets in the first quarter of 2025. Gold prices on Monday surged above $3,100 per ounce for the first time as concerns around the US tariffs and the potential economic fallout, combined with geopolitical worries, drove a fresh wave of investments into the safe-haven asset.The tariff plan has also drawn widespread opposition from the US's trading partners, with officials from various countries voicing to safeguard their interests while potentially retaliating if necessary.Canada Prime Minister Mark Carney pledged to fight unjustified trade actions, protect Canadian workers and businesses, and build Canada's economy, including through increased trade between Canada and Mexico as he spoke with President of Mexico, Claudia Sheinbaum on Tuesday.The EU has "a strong plan to retaliate if necessary", European Commission (EC) President Ursula von der Leyen said, according to the speech released by the EC on Tuesday.Chinese authorities including the Foreign Ministry and the Commerce Ministry have stated multiple times that trade and tariff wars have no winners and unilateral imposition of tariffs by the US undermines the multilateral trading system, as well as disrupting the normal international trade order.Experts warned that the tariffs would backfire, disrupting global supply and industrial chains and saddling US businesses and consumers with higher costs.Studies indicate that 25 percent tariffs could raise consumer costs by $5,000 to $10,000, exacerbating uncertainty for both the US and global economies.In a report released on Sunday, Goldman Sachs raised the probability of a US recession to 35 percent from 20 percent and said it expects more rate cuts by the Federal Reserve, as the Trump administration's tariffs roil the global economy and upend financial markets.GBA expressGuangzhou Baiyun International Airport has marked a significant expansion in its international network as two foreign airlines launched three new direct routes on the same day. Kazakhstan's Air Astana and Vietnam's VietJet Air introduced fresh connections linking Guangzhou with key cities in Central Asia and Southeast Asia.Guangdong on Tuesday announced measures aimed at accelerating innovation in its artificial intelligence (AI) and robotics industries. Among the 12 initiatives announced, the province pledged financial support of up to 50 million yuan for the national-level AI and robotics manufacturing innovation centers and up to 10 million yuan for provincial-level centers.Hong Kong’s initial public offerings market raised HK$18.2 billion in the first quarter of this year, up nearly 2.9 times from a year earlier, ranking fourth globally, according to Deloitte. The first quarter saw 15 IPOs in Hong Kong, a 25 percent increase compared to 12 listings in the same period of 2024. The Shenzhen Stock Exchange and the Shanghai Stock Exchange ranked ninth and tenth globally, respectively.Industry and company newsLeapmotor became the best-selling Chinese new energy vehicle startup in March, after its sales exceeded those of rival Li Auto. Leapmotor delivered 37,095 cars last month, up over 154 percent from a year earlier. In comparison, Li Auto delivered 36,674 units, an increase of nearly 27 percent in the period. Xpeng Motor ranked third, with deliveries soaring 268 percent to 33,205 units. Xiaomi Auto followed suit, with more than 29,000 cars delivered in March. Nio's deliveries rose 27 percent to 15,039 units.  Chinese electric vehicle battery giant CATL will join hands with state-owned oil giant Sinopec to build 10,000 battery swap stations, media reported on Wednesday. As part of a strategic deal signed in Beijing, the two companies will build at least 500 battery swap stations this year, according to the report, without giving the timeline for the long-term goal of 10,000 such stations.The Xiaomi SU7 that crashed and burst into flames on March 29, did not have a CATL battery, the Chinese battery giant told investors today. The standard version of the Xiaomi SU7 is equipped with a 73.6 kWh battery pack and reportedly adopts a dual-supplier system, with BYD and CATL as suppliers. Xiaomi's stock fell over 5% yesterday. CEO Lei Jun on Tuesday night expressed his deepest condolences after a fatal accident involving a Xiaomi SU7 EV, saying that the accident is still under investigation and pledging that the company will continue to cooperate with the police investigation.Legoland Shanghai Resort today announced a six-tier pricing system based on seasonal visitor traffic. Adult tickets are priced from 319 yuan to 599 yuan, while children tickets range from 255 yuan to 479 yuan. The theme park is set to open in May.JD.Com will raise the payroll for Dada Nexus employees to 19 months this year and extend it to 20 from next year, with additional bonus stock for outstanding workers, the Chinese e-commerce giant said today. The move marks the 8th pay rise of the year throughout JD-affiliated firms.The Beinao-1 smart brain-computer interface device has been successfully implanted in the first three patients, allowing them preliminary motion decoding and decoding output of nearly a hundred common Chinese words. The patients have recovered well after the operation, the Beijing Institute for Brain Disorders, the leading developer of Beinao-1, announced yesterday.Local governments in China issued a record 2.84 trillion yuan of bonds in the first three months of this year, soaring about 80 percent from a year earlier, according to ChinaBond.China’s services trade jumped nearly 10 percent to 1.31 trillion yuan in the first two months of 2025 from a year earlier, according to the Ministry of Commerce. Trade in travel-related services soared 29 percent to 409.8 billion yuan.China has allocated over 230 billion yuan in ultra-long special treasury bonds this year to support major national strategies and strengthen security capacity in key areas, the National Development and Reform Commission (NDRC) said on Tuesday.Standard Chartered on Wednesday revised its 2025 economic growth forecast for China to 4.8 percent from 4.5 percent, given "stronger-than-expected" real activity performance in the first two months and the March PMI survey.Asia-Pacific highlightsChinese rescue teams are continuing to work in the hard-hit Mandalay in central Myanmar following the 7.9-magnitude temblor last week, and have so far saved eight survivors as of 8 am local time on Tuesday in the country. The Chinese Embassy in Myanmar has also delivered cash assistance worth 1.5 million yuan to the Myanmar Red Cross Society. The death toll from Friday's earthquake in Myanmar has risen to 2,886, with 4,639 injured and 373 still missing, according to the State Administration Council information team on Wednesday.The China-ASEAN New Energy Electric Vehicle Production Base, covering an area of 6.67 square kilometers with a planned investment of 15.7 billion yuan, has rapidly become a pivotal player in Asia's green transportation sector. Located within the Guigang National Eco-Industrial Park, the base has repurposed over 300,000 square meters of existing factory space to attract leading industry participants.