Asia-Pacific markets traded in red on Monday amid fears of a global trade war following U.S. tariff measures, triggering a selloff in risk assets. President Donald Trump imposed a 25% tariff on Canadian and Mexican imports and a 10% tariff on Chinese goods,

Korea’s KOSPI index fell by 2.5% on Monday, as Trump’s tariff moves could threaten both South Korea’s export-heavy economy, as well as the supply chains of its major manufacturers. Electronics giants Samsung and LG, and automakers Kia and Hyundai, all have manufacturing facilities in Mexico.

Shares of Japanese and South Korean car makers and their suppliers led declines in Asia on Monday, as exporters across the region were walloped by U.S. President Donald Trump's introduction of sweeping tariffs on Mexico,