Korean won dips to yearly low amid Donald Trump tariff woes
Trump announced he will impose 25 per cent tariffs on imports from Canada and Mexico and 10 per cent on goods from China starting from Tuesday. He also pledged to place new tariffs on goods from the European Union.
The sweeping tariffs and expected retaliatory measures are feared to adversely affect South Korean companies that have production bases in those countries.
South Korean stocks opened sharply lower on Monday on concerns over the United States' decision to impose high tariffs on goods imported from Canada and Mexico, potentially affecting South Korean businesses operating there.
The benchmark Korea Composite Stock Price Index (KOSPI) plunged 56.45 points, or 2.24 percent, to 2,460.92 in the first 15 minutes of trading.
The move is expected to adversely affect Samsung Electronics, LG Electronics and other major Korean companies that have production bases in those countries.
Blue chips retreated across the board, with market heavyweight Samsung Electronics down 2.1 percent and its chipmaking rival SK hynix plunging 3.77 percent.
Automotive and steel shares also traded in negative territory. Hyundai Motor and Kia slipped 1.46 percent and 2.25 percent, respectively, and top steelmaker POSCO Holdings plummeted 4.03 percent.
