The morning witnessed the Nikkei plunge 1,900 points despite Trump's 90-day tariff pause announced yesterday, with traders citing continued trade war fears. The yen simultaneously appreciated to 142 per dollar, a six-month high.
By midday, Prime Minister Ishiba characterized the tariff situation as a "national crisis" requiring a unified Japanese response, while arranging ministerial talks with the US for next week.
The afternoon brought the most significant development as China announced it would raise retaliatory tariffs on US goods to 125% starting April 12, effectively matching Trump's China-specific rate. Beijing portrayed this as their final escalation, suggesting American exports were no longer commercially viable at these levels.
Japanese corporations continued adapting to the trade turmoil, with drugstore giants Welcia and Tsuruha accelerating their merger timeline by two years to consolidate against e-commerce competition amid economic uncertainty.