(BFM Stock Exchange) – The Paris Stock Exchange wins under the 8,000 points, shaken by the new announcements by Donald Trump which plans to tax Canadian steel and aluminum imports to 50%.

Donald Trump’s erratic policy on customs duties puts the nerves of investors to the test. The New York Stock Exchange suffered on Monday, the Nasdaq Composite having experienced its worst day since September 2022 with a drop of 4%.

Tensions are still going up a notch this Tuesday, March 11, due to a new exit from the American president. And it is Canada that is once again in the collimator of Donald Trump.

The tenant of the White House plans to raise customs duties on Canadian steel and aluminum applicable on Wednesday, to bring them from 25 to 50%. Bad news never arriving alone, Donald Trump also promised to “considerably increase” customs surcharges on Canadian cars from April 2, “if Canada does not give up other incredible and long -standing customs duties”.

The President is going back to blow, since the Canadian province of Ontario decided on Monday to apply customs duties of 25% to the export of electricity to the United States. This customs surcharge will be maintained, “until the American customs duties are eliminated once and for all,” the government said in a statement quoted by Radio Canada.

Sounded markets

On the Paris Stock Exchange, this new projection leads to a violent dropout of the CAC 40 which now yields more than 1.5%, to 7,923.65 points, while it was down slightly (-0.2%) to mid-session. Stellantis, which drops almost 6% significantly contributes to the sub-performance of the Parisian index, the automaker being a collateral victim of the customs surcharges implemented by the Trump administration on Canadian imports.

Stifel estimated, for its part, that 16 billion revenues from Stellantis are exposed to these customs tariffs. The design office calculated an impact of 40% on the operating profit of Stellantis.

At Wall Street, the American clues are also under pressure after a nightmare session. The Dow Jones drops 1.3%, the Nasdaq makes another 1% when the S&P 500 gives 0.90% around 4:00 p.m.

Donald Trump’s procrastination on customs duties with regard to its business partners, destabilize the market and maintain the vagueness on the economic prospects of the United States.

“The implementation of Trump’s agenda creates a lot of risks and concerns. It is not only a question of the impact on confidence. This is also the fact that the combative approach creates much more space for retaliatory measures from business partners,” explains Barclays.