Asia-Pacific markets traded in red on Monday amid fears of a global trade war following U.S. tariff measures, triggering a selloff in risk assets. President Donald Trump imposed a 25% tariff on Canadian and Mexican imports and a 10% tariff on Chinese goods,

Korea’s KOSPI index fell by 2.5% on Monday, as Trump’s tariff moves could threaten both South Korea’s export-heavy economy, as well as the supply chains of its major manufacturers. Electronics giants Samsung and LG, and automakers Kia and Hyundai, all have manufacturing facilities in Mexico.

Stock markets in Asia and Europe fell Monday amid investor concerns about new tariffs U.S. President Donald Trump announced he would levy on imports from China, Mexico and Canada. Britain’s FTSE was down about 1.25% in midday trading, while Germany’s DAX and France’s CAC40 were down about 1.7%.