Asian Shares Slide on Trump’s Tariff Threats, Mixed China Data – January 19, 2026

Asian stock markets declined on January 19, 2026, as investor fears mounted over former U.S. President Donald Trump’s renewed threats to impose sweeping tariffs on imports from China and other nations. The MSCI Asia Pacific Index dropped 1.4%, with Japan’s Nikkei 225 falling 1.8% and China’s CSI 300 dropping 2.1%. The sell-off intensified after mixed economic data from China: industrial output rose 5.2% year-on-year in December, but retail sales grew only 3.8%, below forecasts. Meanwhile, Trump’s campaign rhetoric has reignited concerns about a potential trade war, prompting risk-averse sentiment. Investors are now reassessing global supply chain exposure, particularly in tech and manufacturing sectors. The Shanghai Composite lost 1.9%, while Hong Kong’s Hang Seng fell 1.7%. Market watchers expect heightened volatility ahead of the U.S. presidential election cycle.