Afp Business Asia

Stock markets plunged Friday as a closely watched US inflation reading heated up amid intensifying concerns over fallout from President Donald Trump’s incoming wave of tariffs.Shares in automakers fell further as they brace for 25 percent US tariffs due to kick in next week along with a raft of “reciprocal” surcharges tailored to different countries.The market mood has soured over fears that Trump’s plans will trigger tit-for-tat measures that would rekindle inflation, which could put the brakes on interest rate cuts and spark a recession.”Investors remain nervous over the economic repercussions from President Trump’s tariff threats, just days before he unleashes his ‘reciprocal tariffs'” on April 2, said David Morrison, senior market analyst at financial services provider Trade Nation.In Europe, London just about held the line, closing barely off in the week’s final session. But Paris, Frankfurt and Milan all slid around one percent.On Wall Street, all three major indexes closed sharply lower, with the Dow tumbling 1.7 percent, the S&P 500 losing 2.0 percent and Nasdaq diving 2.7 percent.The slide came after official data showed the Federal Reserve’s preferred inflation measure, the personal consumption expenditures (PCE) price index, remained unchanged last month at 2.5 percent.But another key figure, core inflation, which strips out volatile food and energy costs, rose more than expected at 2.8 percent in February on an annual basis, up from the month before.”The (PCE) report isn’t devastating, but given the current economic uncertainty and market volatility, investors were looking for reassurance in this report — not something to fan the flames,” said Bret Kenwell, US investment analyst at trading platform eToro.In Europe, automakers Volkswagen, Renault and Stellantis, whose brands include Jeep, Peugeot and Fiat, fared particularly badly. Shares in General Motors and Ford also slumped on Wall Street.Tokyo’s stock market sank 1.8 percent as the world’s biggest carmaker Toyota fell, along with Honda, Nissan and Mazda.Seoul was off 1.9 percent as Hyundai gave up 2.6 percent.Uncertainty over Trump’s plans and long-term intentions has led investors to rush into safe havens such as gold, which hit a new record high of $3,085.96 an ounce on Friday.Governments around the world have pushed back on Trump’s tariffs, and could announce more countermeasures next week.On Friday, Canadian Prime Minister Mark Carney told Trump that Ottawa will implement retaliatory tariffs to protect its workers and economy, after Washington announces added trade actions on April 2.Tariff worries also led to falls on stock markets in Hong Kong and Shanghai.Bangkok was in the red when trading was suspended as a powerful earthquake in neighboring Myanmar shook the Thai capital.Investors also kept tabs on Beijing, where Chinese President Xi Jinping met business leaders, pledging the country’s door would “open wider and wider” but also warning of “severe challenges” to the world trading system.- Key figures around 2035 GMT -New York – Dow: DOWN 1.7 percent at 41,583.90 points (close)New York – S&P 500: DOWN 2.0 percent at 5,580.94 (close)New York – Nasdaq: DOWN 2.7 percent at 17,322.99 (close)London – FTSE 100: DOWN 0.1 percent at 8,658.85 (close)Paris – CAC 40: DOWN 0.9 percent at 7,916.08 (close)Frankfurt – DAX: DOWN 1.0 percent at 22,461.52 (close)Tokyo – Nikkei 225: DOWN 1.8 percent at 37,120.33 (close)Hong Kong – Hang Seng Index: DOWN 0.7 percent at 23,426.60 (close)Shanghai – Composite: DOWN 0.7 percent at 3,351.31 (close)Euro/dollar: UP at $1.0838 from $1.0796 on ThursdayPound/dollar: FLAT at $1.2947 from $1.2947Dollar/yen: DOWN at 149.72 yen from 151.04 yenEuro/pound: UP at 83.68 pence from 83.38 penceWest Texas Intermediate: DOWN 0.8 percent at $69.36 per barrelBrent North Sea Crude: DOWN 0.5 percent at $73.63 per barreldan-ajb-lth-bys/sst

Stock markets took a tumble Friday as a closely watched US inflation reading heated up, adding to concerns over the fallout from an incoming wave of tariffs by President Donald Trump.Shares in automakers fell further as they brace for 25-percent US levies due to kick in early next week along with a raft of “reciprocal” tariffs tailored to different countries.The market mood has soured over fears that Trump’s tactics will trigger tit-for-tat tariffs that would rekindle inflation, which could put the brakes on interest-rate cuts and spark a recession.”Investors remain nervous over the economic repercussions from President Trump’s tariff threats, just days before he unleashes his ‘reciprocal tariffs'” on April 2, said David Morrison, senior market analyst at financial services provider Trade Nation.In Europe, while London just about held the line, closing barely off in the week’s final session, Paris, Frankfurt and Milan all slid around one percent.But the red was all the more pronounced on Wall Street as the tech-heavy Nasdaq gave up 2.6 percent while the Dow and the broad-based S&P 500 both shed around 1.5 percent.The slide came after official data showed the Federal Reserve’s preferred inflation measure, the personal consumption expenditures (PCE) price index, remained unchanged last month at 2.5 percent.But another key figure, core inflation, which strips out volatile food and energy costs, rose more than expected at 2.8 percent in February on an annual basis, up from 2.6 percent the month before.”The (PCE) report isn’t devastating, but given the current economic uncertainty and market volatility, investors were looking for reassurance in this report — not something to fan the flames,” said Bret Kenwell, US investment analyst at trading platform eToro.Paris and Frankfurt stocks dropped, with automakers Volkswagen, Renault and Stellantis, whose brands include Jeep, Peugeot and Fiat, faring particularly badly.General Motors and Ford had more limited losses on Wall Street.London finished nearly flat after data showed the UK economy expanded more than initially estimated last year and retail sales rose. Tokyo’s stock market sank 1.8 percent as the world’s biggest carmaker Toyota fell, along with Honda, Nissan and Mazda.Seoul was off 1.9 percent as Hyundai gave up 2.6 percent.Uncertainty over Trump’s plans and long-term intentions has led investors to rush into safe havens such as gold, which hit a new record high of $3,085.96 an ounce on Friday.Governments around the world have hit out at Trump’s latest tariffs, with Canadian Prime Minister Mark Carney saying his country’s “old relationship” of deep economic, security and military ties with Washington “is over”.Tariff worries also saw Hong Kong and Shanghai stock markets fall.Bangkok was in the red when trading was suspended as the Thai capital was shaken by a powerful earthquake in neighbouring Myanmar.Investors also kept tabs on Beijing, where Chinese President Xi Jinping met business leaders, pledging the country’s door would “open wider and wider” — but also warning of “severe challenges” to the world trading system.- Key figures around 1645 GMT -New York – Dow: DOWN 1.5 percent at 41,671.29 pointsNew York – S&P 500: DOWN 1.8 percent at 5,593.87New York – Nasdaq: DOWN 2.6 percent at 17,338.65London – FTSE 100: DOWN 0.1 percent at 8,658.85 (close)Paris – CAC 40: DOWN 0.9 percent at 7,916.08 (close)Frankfurt – DAX: DOWN 1.0 percent at 22,461.52 (close)Tokyo – Nikkei 225: DOWN 1.8 percent at 37,120.33 (close)Hong Kong – Hang Seng Index: DOWN 0.7 percent at 23,426.60 (close)Shanghai – Composite: DOWN 0.7 percent at 3,351.31 (close)Euro/dollar: UP at $1.0823 from $1.0796 on ThursdayPound/dollar: DOWN at $1.2934 from $1.2947Dollar/yen: DOWN at 150.11 yen from 151.04 yenEuro/pound: UP at 83.63 pence from 83.38 penceWest Texas Intermediate: DOWN 1.1 percent at $69.15 per barrelBrent North Sea Crude: DOWN 0.8 percent at $73.47 per barrel

India on Friday announced a $7.3 billion deal to purchase 156 locally made light combat Prachand helicopters for its air force and the army — part of its ongoing push to be self-reliant on defence.The country’s first locally designed and developed combat helicopter will be produced at the country’s largest helicopter factory, opened by Prime Minister Narendra Modi in February 2023.”This decision marks a major boost to India’s combat capabilities and self-reliance,” defence minister Rajnath Singh said on X. “This is indeed a proud moment for India’s Make in India journey.”His ministry said it had signed contracts with state-owned Hindustan Aeronautics Limited.”The supply of these helicopters shall commence from the third year and will be spread over the next five years”, the ministry said, without giving specific dates.The new aircraft will “enhance the combat capability of armed forces at high altitudes,” it added.The country’s recent push to modernise and locally produce defence equipment was spurred by its deadliest clashes in decades with China along their long and disputed border in 2020.India has also fought multiple wars with its other nuclear-armed neighbour, Pakistan, and has tens of thousands of troops deployed along both of those tense frontiers. The new helicopters will be deployed around the country’s tough high-altitude Himalayan frontiers. In recent years, India has introduced its first locally made aircraft carrier. It also become only one of six countries with nuclear strike capabilities on land, sea and air after it tested a ballistic missile from its first homegrown nuclear-powered submarine.Modi has pledged to “gradually reduce India’s dependence on foreign countries for its defence needs”, but the country still remains one of the biggest hardware importers in the world. New Delhi has tried to cut its dependence on Russia, its traditional ally and primary source of key military platforms for decades. It has procured key hardware worth billions of dollars from countries like Israel, France and the United States in recent years.Modi has also eased investment and co-production rules to spur local defence manufacturing. 

Stock markets fell on Friday as a closely-watched US inflation reading heated up, adding to concerns over the fallout from an incoming wave of tariffs by President Donald Trump.Shares in automakers fell further as they brace for 25-percent levies due to kick in early next week along with a raft of “reciprocal” tariffs tailored to different countries.The market mood has soured over fears that Trump’s tactics will trigger tit-for-tat tariffs that would rekindle inflation, which could put the brakes on interest rate cuts and spark a recession.”Investors remain nervous over the economic repercussions from President Trump’s tariff threats, just days before he unleashes his ‘reciprocal tariffs’ (on April 2),” said David Morrison, senior market analyst at financial services provider Trade Nation.Wall Street opened in the red after official data showed the Federal Reserve’s preferred inflation measure, the personal consumption expenditures (PCE) price index, remained unchanged last month at 2.5 percent.But another key figure, core inflation, which strips out volatile food and energy costs, rose more than expected at 2.8 percent in February on an annual basis, up from 2.6 percent the month before.A tit-for-tat trade war and a reignition of inflation that could force the Fed and other central banks to rethink plans to cut interest rates.”The (PCE) report isn’t devastating, but given the current economic uncertainty and market volatility, investors were looking for reassurance in this report — not something to fan the flames,” said Bret Kenwell, US investment analyst at eToro trading platform.In Spain, data showed inflation eased to 2.3 percent in March as rainy weather boosted hydro power production and drove down electricity prices. Consumer prices rises remained unchanged in France at 0.8 percent.Paris and Frankfurt stocks dropped, with automakers Volkswagen, Renault and Stellantis, whose brands include Jeep, Peugeot and Fiat, faring particularly badly.General Motors and Ford had more limited losses on Wall Street.London bucked the trend, with the FTSE 100 index rising as data showed that the UK economy expanded more than intially estimated last year and retail sales rose. Tokyo’s stock market sank 1.8 percent as the world’s biggest carmaker Toyota fell, along with Honda, Nissan and Mazda.Seoul was off 1.9 percent as Hyundai gave up 2.6 percent.Uncertainty over Trump’s plans and long-term intentions has led investors to rush into safe havens such as gold, which hit a new record high of $3,085.96 an ounce on Friday.Governments around the world have hit out at Trump’s latest tariffs, with Canadian Prime Minister Mark Carney saying the “old relationship” of deep economic, security and military ties with Washington “is over”.Tariff worries also saw Hong Kong and Shanghai stock markets fall.Bangkok was in the red when trading was suspended as the Thai capital was shaken by a powerful earthquake in neighbouring Myanmar.Investors also kept tabs on Beijing, where Chinese leader Xi Jinping met leading business leaders pledging the country’s door would “open wider and wider”.He also warned the world trading system was facing “severe challenges”.- Key figures around 1340 GMT -New York – Dow: DOWN 0.2 percent at 42,216,50 pointsNew York – S&P 500: DOWN 0.2 percent at 5,683.38New York – Nasdaq: DOWN 0.4 percent at 17,741.10London – FTSE 100: UP 0.1 percent at 8,673.30 Paris – CAC 40: DOWN 0.5 percent at 7,949.83Frankfurt – DAX: DOWN 0.4 percent at 22,593.76 Tokyo – Nikkei 225: DOWN 1.8 percent at 37,120.33 (close)Hong Kong – Hang Seng Index: DOWN 0.7 percent at 23,426.60 (close)Shanghai – Composite: DOWN 0.7 percent at 3,351.31 (close)Euro/dollar: UP at $1.0803 from $1.0796 on ThursdayPound/dollar: UP at $1.2957 from $1.2947Dollar/yen: DOWN at 150.62 yen from 151.04 yenEuro/pound: UP at 83.40 pence from 83.38 penceWest Texas Intermediate: DOWN 0.3 percent at $69.73 per barrelBrent North Sea Crude: DOWN 0.4 percent at $73.04 per barrel

China’s market regulator said it will review Hong Kong conglomerate CK Hutchison’s sale of Panama Canal ports to a US-led consortium, a Beijing-backed newspaper in Hong Kong reported on Friday.The business empire built by Hong Kong billionaire Li Ka-shing offloaded its global ports business outside China — including operations in the vital Central American canal — this month to a group led by giant asset manager BlackRock for $19 billion in cash.The State Administration for Market Regulation was “aware of this transaction and will conduct a review in accordance with the law, to protect fair market competition and public interest”, a spokesperson for the regulator said, quoted by Beijing-backed newspaper Ta Kung Pao.The deal came after weeks of pressure from US President Donald Trump, who refused to rule out military intervention to “take back” the crucial waterway from alleged Chinese control.The agreement was to be signed by April 2 but it came under fire from two Chinese government offices overseeing Hong Kong affairs, one based in Beijing and the other in the former British colony.They reposted critical newspaper articles in recent weeks including an op-ed that blasted the move as “betraying and selling out all Chinese people”.On Friday night, those two offices republished the exchange between Ta Kung Pao and the regulator about the review.The signing of the April 2 deal will now not go ahead as planned, the Hong Kong-based South China Morning Post newspaper reported on Friday, citing “a source close to Hutchison”.The Chinese regulator and CK Hutchison did not immediately respond to an AFP request for comment.Jet Deng, a senior partner at the Beijing office of law firm Dentons, said China’s antitrust laws can be applicable outside its borders, similar to those of the United States and the European Union.Once a deal meets China’s reportability threshold, a declaration is required even if the transaction takes place abroad, as long as the parties involved had substantial operations in mainland China, Deng told AFP before the regulator’s announcement.Firms that fail to declare may be fined for up to 10 percent of their operating income from the preceding year, he added.CK Hutchison is registered in the Cayman Islands and the assets being sold are all outside China.Hong Kong leader John Lee said last week that concerns about the sale “deserve serious attention”, adding that the city will “handle it in accordance with the law and regulations”.The conglomerate has not publicly responded to criticism of the transaction.

Auto companies bore the brunt of stock market losses again on Friday after President Donald Trump announced steep tariffs on vehicle imports to accompany a wave of US levies next week.The mood on trading floors has soured in recent weeks as the White House presses ahead with its hardball policy approach that has fuelled recession fears.”The losses seen throughout Asia and Europe highlight the growing fears as auto tariffs are set to be accompanied by retaliatory measures on the so-called ‘Liberation Day’ next week,” said Joshua Mahony, chief market analyst at Scope Markets.  Paris and Frankfurt stocks dropped, with automakers Volkswagen, Renault and Stellantis, whose brands include Jeep, Peugeot and Fiat, faring particularly badly. Tokyo’s stock market sank 1.8 percent as the world’s biggest carmaker Toyota fell, along with Honda, Nissan and Mazda.Seoul was off 1.9 percent as Hyundai gave up 2.6 percent.Governments around the world have hit out at Trump’s latest tariffs, with Canadian Prime Minister Mark Carney saying the “old relationship” of deep economic, security and military ties with Washington “is over”.Warnings of retaliation have stoked fears of a long-running global trade war and a reignition of inflation that could force central banks to rethink plans to cut interest rates.Investors will be looking to US personal consumption expenditures data — the Federal Reserve’s preferred gauge of inflation — later in the day.News that the US economy expanded at a slightly faster pace than estimated in the final three months of last year did little to stir excitement.Uncertainty over Trump’s plans and long-term intentions has led investors to rush into safe havens such as gold, which hit a new record high of $3,085.96 an ounce on Friday.Tariff worries also saw Hong Kong and Shanghai stock markets fall.Bangkok was in the red when trading was suspended as the Thai capital was shaken by a powerful earthquake in neighbouring Myanmar.London edged up after data showed that the UK economy expanded more than intially estimated last year and retail sales rose. In Spain, inflation eased in March as rainy weather boosted hydro power production and drove down electricity prices. Investors also kept tabs on Beijing, where Chinese leader Xi Jinping met leading business leaders pledging the country’s door would “open wider and wider”.”China is firmly committed to advancing reform and opening up,” Xi told the executives, including hedge fund boss Ray Dalio and Samsung Electronics chief Lee Jae-yong.He also warned the world trading system was facing “severe challenges”.On currency markets, the yen strengthened against the dollar after a report showing inflation in Tokyo rose more than expected in March, boosting bets on another central bank rate hike.- Key figures around 1045 GMT -London – FTSE 100: UP 0.1 percent at 8,676.52 pointsParis – CAC 40: DOWN 0.4 percent at 7,960.02Frankfurt – DAX: DOWN 0.4 percent at 22,589.84 Tokyo – Nikkei 225: DOWN 1.8 percent at 37,120.33 (close)Hong Kong – Hang Seng Index: DOWN 0.7 percent at 23,426.60 (close)Shanghai – Composite: DOWN 0.7 percent at 3,351.31 (close)New York – Dow: DOWN 0.4 percent at 42,299.70 (close)Euro/dollar: DOWN at $1.0780 from $1.0796 on ThursdayPound/dollar: DOWN at $1.2944 from $1.2947Dollar/yen: DOWN at 150.69 yen from 151.04 yenEuro/pound: DOWN at 83.29 pence from 83.38 penceWest Texas Intermediate: DOWN 0.2 percent at $69.79 per barrelBrent North Sea Crude: DOWN 0.2 percent at $73.20 per barrel

Auto companies once again took the brunt of the selling on another tough day for markets on Friday after President Donald Trump announced steep tariffs on vehicle imports to go with a wave of other US levies pencilled in for next week.The mood on trading floors has soured in recent weeks as the White House presses ahead with its hardball policy approach that has hit friend and foe alike and fuelled recession fears.The president’s pledge to impose 25 percent levies on all autos coming into the United States overshadowed earlier indications that planned reciprocal measures due on Trump’s “Liberation Day” on April 2.Governments around the world have hit out at the announcement, with Canadian Prime Minister Mark Carney saying the “old relationship” of deep economic, security and military ties with Washington “is over”.But warnings of retaliation have stoked worries of a long-running global trade war and a reignition of inflation that could force central banks to rethink plans to cut interest rates.Uncertainty over Trump’s plans and long-term intentions has led to uncertainty among investors, sparking a rush out of risk assets into safe havens such as gold, which hit a new record high of $3,085.96 Friday.Analysts said that while there is hope negotiations with Washington could see the duties tempered, investors were likely choosing to play a wait-and-see game.Equity markets in Asia were mixed on Friday after another down day on Wall Street, with auto firms again taking the brunt.Tokyo sank 1.8 percent as Toyota — the world’s biggest carmaker — Honda, Nissan and Mazda tumbled between 1.3 and 3.9 percent.Also in the red was Nippon Steel after it said it would invest as much as $7 billion to upgrade US Steel if its huge takeover goes ahead. It had initially flagged a $2.7 billion investment.Seoul was off 1.9 percent as Hyundai gave up 2.6 percent.Tariff worries also saw Hong Kong, Shanghai, Singapore, Taipei, Wellington and Mumbai fall.Bangkok was in the red when trading was suspended as the Thai capital was shaken by a powerful earthquake in neighbouring Myanmar.Sydney and Manila edged up.London fell at the open even as data showed the UK economy expanded more than initially indicated last year.Paris and Frankfurt also opened lower.Investors were keeping tabs on Beijing, where Chinese leader Xi Jinping met leading business leaders pledging the country’s door would “open wider and wider”.”China is firmly committed to advancing reform and opening up,” Xi told the executives, including hedge fund boss Ray Dalio and Samsung Electronics chief Lee Jae-yong.He also warned the world trading system was facing “severe challenges”.US personal consumption expenditures data — the Federal Reserve’s preferred gauge of inflation — is due to be released later in the day, with traders hoping for an idea about the impact of Trump’s policies.The figures come after data this week showed consumer confidence was at its lowest level since 2021 — during the Covid-19 pandemic — owing to growing concerns over higher prices.News that the US economy expanded at a slightly faster pace than estimated in the final three months last year did little to stir excitement.On currency markets, the yen strengthened against the dollar after a report showing inflation in Tokyo — a barometer of Japan as a whole — rose more than expected in March, boosting bets on another central bank rate hike.- Key figures around 0815 GMT -Tokyo – Nikkei 225: DOWN 1.8 percent at 37,120.33 (close)Hong Kong – Hang Seng Index: DOWN 0.7 percent at 23,426.60 (close)Shanghai – Composite: DOWN 0.7 percent at 3,351.31 (close)London – FTSE 100: DOWN 0.2 percent at 8,650.44 Euro/dollar: DOWN at $1.0789 from $1.0796 on ThursdayPound/dollar: UP at $1.2952 from $1.2947Dollar/yen: DOWN at 150.46 yen from 151.04 yenEuro/pound: DOWN at 83.34 pence from 83.38 penceWest Texas Intermediate: DOWN 0.5 percent at $69.59 per barrelBrent North Sea Crude: DOWN 0.5 percent at $73.70 per barrelNew York – Dow: DOWN 0.4 percent at 42,299.70 (close)

Chinese leader Xi Jinping on Friday warned of “severe challenges” to global trade, vowing to open the country’s door “wider and wider” to foreign firms as Beijing faces down a mounting trade war with the United States.Meeting executives including hedge fund boss Ray Dalio and Samsung Electronics chief Lee Jae-yong in Beijing’s ornate Great Hall of the People, Xi warned that “unilateralism and protectionism” were on the rise.”Multilateralism is the inevitable choice for addressing the difficulties and challenges facing the world, and economic globalisation is an unstoppable historical trend,” Xi said.His comments were a veiled criticism of Trump’s recently imposed tariffs, which are dampening the prospects this year for Chinese exports after they soared to record highs last year.Beijing has sought to woo foreign businesses as those global trade headwinds threaten its already-shaky economic growth.It has also positioned itself as a staunch defender of the multilateral trading system as the mercurial resident of the White House rocks the international order.During Friday’s meeting, Xi called for upholding World Trade Organisation rules, while promising China would continue to “advance trade and investment liberalisation”.”All parties should work together to uphold the global economic order,” he said.He vowed that “foreign enterprises in China can develop their advantages and capabilities and gain an advantage in global competition”.Exports have historically represented a key driver of growth in the manufacturing powerhouse, though increasing trade and geopolitical tensions are threatening that.Foreign enterprises in China have long complained of an unfair business environment, with IP theft, a lack of regulatory transparency and an uneven playing field with local firms among the laundry list of issues.A sweeping counterespionage law imposed in 2023 has also done little to improve sentiment.This week, US due diligence firm Mintz Group said that China had released five local employees detained more than two years ago during a crackdown on foreign consultancies with multinational links.Beijing later said the company was under investigation for suspected “illegal operations”, but did not provide details.Other US firms targeted in the 2023 crackdown included Bain & Company and Capvision.

On the fifth floor of Southeast Asia’s biggest textile market, Indonesian trader Toni Sar waves a white envelope to signal surrender as he points to shuttered units forced to close because of falling business.”There are many who are not strong anymore. They can’t do it anymore,” said the 49-year-old clothes trader, who sells to 27 provinces around the archipelago by phone and mail order.Temporary closure notices over failed rent payments were plastered on the metal shutters at Tanah Abang market in capital Jakarta, as Toni’s workers packed away Islamic clothing for customers around Indonesia.The Islamic month of Ramadan is usually a bounty for commerce, especially for businesses that hawk robes, headdresses and accessories.But traders at the huge market say the fasting month, which runs until the end of the month, is providing little respite as a post-pandemic lull and online shopping platforms cut into their coffers.Toni said his revenue was down 50 percent compared to last year.But “we hope for the best,” he added, saying he wished for an uptick in the run-up to the Eid Al-Fitr celebration at the end of Ramadan.Clothes seller Ardino Putra, 33, said his sales had fallen a fifth to two billion rupiah from 2.5 billion ($153,000) the year before.”Maybe because of economic factors, and maybe also due to the influence of online shops,” he said.”It should be reduced… rent and service charges. Our payments remain the same… but our sales are low.”Recently inaugurated President Prabowo Subianto has pledged to take Indonesia to developed economy status and eight percent growth, up from five.But the economic outlook remains uncertain with Indonesia’s central bank forced in January to cut interest rates in a bid to boost economic growth and a weakening rupiah.”The first few months of Prabowo’s administration are a cause for concern,” said Gareth Leather, senior Asia economist at Capital Economics.- ‘Hold on’ -In an ironic twist, offline markets are helping fuel online stores, and even attracting sellers from abroad.Setting up a smartphone on a stand to begin a TikTok live, Yaya Azmi, a 22-year-old student, says she flew to Jakarta from Malaysia with her sister to source cheaper Islamic garments.”It’s very good. Ramadan is the best time,” she said.Her income has risen five-fold during the holy month due to orders placed on TikTok and messaging app Telegram, she said.For older buyers, traditional markets like Tanah Abang remain the go-to.”Everything is complete here, there are many choices, and the prices are cheap,” said housewife Hani Nayowan, 60.”Before the pandemic, it was more crowded. (The government) should create more jobs for the lower-class people so they have an income.”Meanwhile the e-commerce market is booming in Indonesia, expected to grow from nearly $53 billion in 2023 to $87 billion in 2028, according to the US International Trade Administration.Sellers like Ria Angrenni, 37, say livestreaming and online sales industries are harming traders in the market, with many forced to adapt to keep the lights on.She called on the government to tax online platforms more, with Tanah Abang vendors forced to pay a service charge of one million rupiah ($62) a month on top of rent.Yet online business now accounted for 35 percent of her trade, with the rest offline sales.”If I can follow the trend, the sales will be good,” she said.Business groups say shifting shopping behaviours and a failure by some traders to move with the times were piling on the pain.”It should not be surprising if traders that solely rely on offline shopping suffer from a lack of sales performance,” said Shinta Kamdani, chair of the Indonesian Employers Association.”Indonesia’s biggest consumer base today is millennials & Gen-Z. They are more drawn to shop at modern market settings.”But trader Toni, surrounded by bolted shop units, refuses to give up.”I have to hold on. Where else can I go?” he said.”(Keep the) spirit!”

Japanese Prime Minister Shigeru Ishiba said Friday that Donald Trump’s views on tariffs were “difficult to understand” after the US president announced 25 percent levies on imported cars and parts.Just weeks after Ishiba and Trump held apparently friendly talks, the duties came as a major blow to Japan, one of Washington’s closest economic and strategic allies. Japanese auto shares sank for the second day on Friday.”What President Trump is saying is that there are both friends and foes and friends can be more difficult. This is very difficult to understand,” Ishiba said during a legislative committee session.Announcing the new vehicle tariffs — pencilled in for next week — Trump said this week in the White House that America’s trade partners had been “taking our jobs, taking our wealth, taking a lot of things”.”They’ve taken so much out of our country, friend and foe alike. And frankly, friend has been oftentimes been much worse than foe,” he added.The measures have caused consternation among US allies. Canada angrily reacted to Trump’s tariff, which could devastate the nation’s auto industry, with Prime Minister Mark Carney declaring the era of deep bilateral relations was “over”.For Japan, Ishiba warned: “The impact this will have on the Japanese economy will be extremely significant. There is nothing to be gained by getting into a big fight over it. We will explain logically (to Washington).”The point is to make them understand imposing such high tariffs on Japan will not bring a special benefit to the United States.”One in 10 Japanese jobs are tied to the automotive industry.Ishiba said on Thursday that Japan was reviewing an “appropriate” response to the tariffs.”We believe that the current measures and other broad-based trade restrictions by the US government could have a significant impact on the economic relationship between Japan and the US, as well as on the global economy and the multilateral trading system,” government spokesman Yoshimasa Hayashi said.Trump’s move has worried investors, who were already on edge over a string of other tariffs he has imposed including on steel and aluminium.In afternoon trade, Toyota plunged 4.76 percent in Tokyo, Honda fell 4.77 percent and Nissan lost 2.97 percent, extending Thursday’s steep losses.Top trade officials from South Korea, Japan and China were meanwhile set on Sunday to meet in Seoul to discuss economic cooperation, a government source told AFP on Friday.