Asia stocks mixed as Trump hits Brazil, Copper with tariffs

July 10, 2025 (MLN): Asia-Pacific equities traded mixed Thursday as investors digested the Bank of Korea’s decision to keep interest rates unchanged alongside fresh tariff shocks from U.S. President Donald Trump.

South Korea’s Kospi edged lower after the central bank held its policy rate at 2.5%, an almost three-year low, citing lingering economic fragility.

GDP data last week showed the economy contracted 0.2% quarter-on-quarter in the first three months of the year, dragged by weak construction and cooling exports, while growth remained flat on an annual basis.

Meanwhile, Singapore’s Straits Times Index outperformed, gaining 0.47% to a record 4,077.41 as of 11:24 a.m. local time, according to LSEG data.

The benchmark notched a fourth straight day of gains, underpinned by robust financial and tech shares.

Investor sentiment was jolted by Trump’s announcement late Wednesday that the U.S. will impose a 50% tariff on copper imports beginning Aug. 1, following a national security assessment.

The move adds to trade tensions after Trump earlier unveiled a similar 50% tariff on Brazilian imports, also set to kick in next month.

“I am announcing a 50% TARIFF on Copper, effective August 1, 2025, after receiving a robust NATIONAL SECURITY ASSESSMENT,” Trump posted on Truth Social.

Market watchers now brace for potential retaliatory steps from Brazil and broader supply chain implications, particularly for manufacturers across Asia reliant on global metal flows.

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