Asian markets opened higher on Monday, April 14, 2025, after US President Donald Trump paused import duties on consumer electronics like smartphones, laptops, and memory chips. The move lifted investor sentiment across the Asia-Pacific region, even as uncertainty over long-term US trade policy lingers.

The brief exemption, announced late Friday, delays the planned imposition of 125 per cent tariffs on Chinese electronics and a 10 per cent global levy. However, Trump has indicated that a specific, sector-focused tariff will be introduced later. The announcement came amid heightened volatility and followed sharp losses in Asian equities over the past three weeks.

Asian tech stocks lead gains; Sony, Samsung rise

A regional tech index climbed 1.5 per cent, with shares of major electronics exporters such as Sony Group and Samsung Electronics gaining in early trade. Japan’s Nikkei 225 surged 1.82 per cent at the open, South Korea’s Kospi gained 1.29 per cent, and Australia’s ASX 200 rose 0.72 per cent.

Analysts say the temporary carve-out offers markets a chance to recalibrate. “Markets are desperate for optimism,” said Vishnu Varathan, head of economics and strategy at Mizuho Bank. “A large sector like electronics being spared, even briefly, helps reset expectations.”

Global cues supportive; US futures, S&P 500 bounce back

US and European equity futures also traded higher early Monday. On Friday, the S&P 500 had closed 1.8 per cent higher after a Federal Reserve official indicated readiness to stabilise financial markets if needed. However, rising Treasury yields hint at growing investor unease, with benchmark US 10-year bond yields posting their biggest weekly jump since 2001.

China, Japan react cautiously; long-term clarity still missing

While Beijing termed the pause “a small step” toward correcting the trade imbalance, it called on Washington to scrap tariffs altogether. China’s equity markets responded positively last week, driven by expectations of additional stimulus and hopes for a negotiated settlement.

Japan, meanwhile, ruled out using its US Treasury holdings as leverage in trade talks, even as speculation swirls over whether major economies may diversify away from US debt holdings in response to ongoing policy shifts.

Outlook: Cautious optimism but policy risks remain 

Despite Monday’s bounce, analysts warn that the evolving nature of Trump’s trade stance continues to fuel global uncertainty. With Trump reiterating plans for targeted tariffs on tech goods, markets may face fresh turbulence in the weeks ahead.