President Trump’s surprise announcement of sweeping new tariffs is shaking up global markets and triggering significant moves in key US stocks. The new tariff policy introduces a minimum 10% import tax and much higher tariffs on specific trade partners.
Trump’s New Tariffs and Most Affected Countries & Stocks
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China: 34%
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Japan: 24%
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Vietnam: 46%
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South Korea: 25%
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European Union: 20%
These tariffs are designed to reduce America’s reliance on foreign manufacturing, but they are already disrupting global trade and impacting major companies in the S&P 500 and Nasdaq 100 indices.
Most Affected US Stocks by Trump Tariffs
Several high-profile American companies are directly exposed to these tariffs because of their dependence on manufacturing, assembly, or supply chains in China, Vietnam, Japan, and other targeted countries.
Here is a clear list of the stocks affected by Trump tariffs and their market reaction:
| Ticker | Company | Reason It’s Affected | After-Hours Drop |
|---|---|---|---|
| AAPL | Apple | Heavy manufacturing in China & Vietnam | -7% |
| NKE | Nike | Major production in Vietnam & China | -7% |
| TSLA | Tesla | Exports to China & Europe, tariff exposure | -8% |
| AMZN | Amazon | Global suppliers impacted by new import taxes | -6% |
| WMT | Walmart | Imports large volumes from affected regions | -5-6% |
The broader stock market sold off immediately after the tariff announcement:
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S&P 500 futures declined nearly 4%.
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Nasdaq-100 futures fell almost 5%.
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Dow futures dropped over 2.5%.
These declines reflect investor concerns about rising production costs, shrinking profit margins, and reduced consumer demand due to higher product prices.
US Stocks That Could Benefit from Trump Tariffs
While multinational companies are facing tariff pressure, some US-focused stocks may actually benefit. Higher import taxes make foreign-made goods more expensive, potentially giving American producers and domestic retailers a competitive edge.
Here are examples of stocks that may benefit from Trump tariffs:
| Ticker | Company | Reason It Might Benefit |
|---|---|---|
| CAT | Caterpillar | Strong U.S. manufacturing base |
| DE | Deere & Co. | American-made farm equipment becomes more competitive |
| AA | Alcoa | US aluminum producer, protected from foreign metals |
| X | US Steel | Domestic steel producer, protected by tariffs |
| DPZ | Domino’s Pizza | U.S.-based supply chain, minimal import exposure |
| CMG | Chipotle | Domestic operations, low import reliance |
| DG | Dollar General | Likely to benefit from consumer shift to affordable domestic goods |
| COST | Costco | May gain from demand for U.S.-sourced products |
Possible Ways Stock Investors Can Play This
Many investors look to buy fundamentally strong stocks such as Costco (COST) during periods of market turmoil. However, it is important to avoid rushing into a position if the S&P 500 or Nasdaq is still falling.
Here is a structured approach:
1. Wait for Market Bottoming Signs
Even strong stocks can get dragged lower by overall market weakness. Watch for:
2. Identify Divergences and Relative Strength
You can spot relative strength by:
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Comparing charts:
Check if the index makes a new low while Costco does not. -
Using a relative strength ratio:
Plot COST / S&P 500 or COST / Nasdaq-100.
If the ratio is trending upward, Costco is outperforming.
Example behavior to monitor:
| Market Condition | Costco Behavior | Signal |
|---|---|---|
| Index falling, Costco falling hard | No relative strength, avoid entry | |
| Index falling, Costco flat or rising | Positive divergence, start monitoring | |
| Index stabilizing, Costco showing clear strength | Consider starting a position |
3. Use a Scaling-In Plan
Once Costco shows strength:
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Start with a small position.
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Add more if the market stabilizes and Costco breaks short-term resistance.
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Always set a stop-loss to control risk in case the market weakness continues.
4. Watch Volume and News
Relative strength is more reliable when:
Professional traders know that the first stocks to hold steady or rally during a market pullback often become the leaders in the next market recovery. If Costco continues to show relative strength, it could be among the first to recover when market conditions improve. Follow the big news, monitor price action to see if it confirms, and be on the look out for intelligent live market news and original ideas to support your decisions at ForexLive.com (to be rebranded to investingLive.com by the end of this year… Get used to the new name).
Stocks Affected by Trump Tariffs – Wait for the Storm to Calm Down
The new tariffs are already causing significant disruptions in global trade and stock market performance.
Stocks affected by Trump tariffs include major multinationals like Apple, Nike, Tesla, Amazon, and Walmart. These companies face higher production costs and shrinking profit margins.
On the other hand, US-based manufacturers and domestic retailers such as Caterpillar, Deere, Alcoa, US Steel, Domino’s, Dollar General, Chipotle, and Costco may benefit from these tariffs.
For investors, the key is to time entries carefully.
If you are looking to buy strong stocks like Costco, wait for:
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Signs of market stabilization.
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Clear relative strength and divergence.
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Higher volume accumulation.
This approach will help you avoid unnecessary drawdowns and position yourself to capture upside when the market recovers.
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