Asian stocks trim earlier gains on fears of U.S.-China trade war

Uncertainties remain as countries negotiate to avoid trade disruptions

Investors, who dumped stocks on Monday on fears of fallout from Trump's tariff increases, are buying back some shares as worries over an imminent trade war recede.. (Photo by Makoto Okada)

Nikkei staff writers

February 4, 2025 11:11 JST

Updated on February 4, 2025 18:42 JST

TOKYO -- Asian stock markets trimmed earlier gains in afternoon trade on Tuesday, as investors grew increasingly concerned over the possibility of a renewed U.S.-China trade war.

Tariffs of 10% on Chinese imports imposed by U.S. President Donald Trump took effect at 2:01 p.m. Japan time. Trump said Asia's largest economy has not done enough to rebalance trade with the U.S. and to fight trafficking of illicit drugs.