The Australian share market closed lower on Thursday, tracking broad-based declines across Asia-Pacific markets as fears of a global trade war intensified following United States President Donald Trump’s sweeping tariff announcements.
Trump revealed a 10% baseline tariff on all imports, with higher duties on key trading partners, including an additional 34% on Chinese goods, 20% on the European Union, and 24% on Japan.
China’s levy is on top of an existing 20% tariff imposed earlier this year.
Australia’s beef industry was singled out, while Canada and Mexico were notably absent from the list.
The S&P/ASX 200 dropped 74.8 points, or 0.9%, to close at 7,859.7, with eight of 11 sectors finishing lower.
The tech sector led the decline, sinking 2.9%, with Appen down 3.6%, Xero down 3.4%, Wisetech shedding 2.7%, and Technology One losing 2.6%.
Energy stocks also tumbled, as Santos, Woodside, Beach Energy, and Viva Energy declined 2.5%, 2.9%, 2.8%, and 1.5%, respectively.
Real estate stocks shed 2%, with Goodman Group tanking 3.7%, Charter Hall shedding 4.7%, and Lendlease Group falling 4.2%.
Miners were also hit amid concerns over the impact of tariffs on China’s economy, the largest buyer of Australian iron ore. Rio Tinto dipped 2.7%, BHP lost 3.4%, Fortescue Metals shed 3%, and Champion Iron fell 4.6%.
Among individual stocks, Ansell recorded the biggest drop on the index, plunging 13.9% after UBS analysts said the company could be the most impacted healthcare company across its coverage.
Luxury fashion retailer Cettire slumped 14.5% after warning that tariffs on European-made goods could force it to raise prices in its key U.S. market.
Breville also shed 5% as the company told investors it was progressing plans to diversify its manufacturing base away from China, which currently manufactures 90% of its products, by value.
On the bond markets, 10-year and 2-year yields declined 3% and 3.8% to 4.237% and 3.546%, respectively.
