The wealth of global billionaires plunged on Thursday in the aftermath of Donald Trump’s tariffs decision.
The policy shift triggered a sharp drop in billionaire net worths as tracked by the Bloomberg Billionaires Index, which recorded a combined $208 billion in losses among the world’s 500 wealthiest individuals.
This, according to the index, is the most severe one-day drop since the early months of the COVID-19 crisis and the fourth-largest in its history.
Tech stocks were the hardest hit as Mark Zuckerberg, chief executive of Meta, recorded the largest single-day personal loss after Meta shares fell sharply.
The company’s stock dropped by 9 percent, erasing nearly $18 billion from Zuckerberg’s wealth. Amazon founder Jeff Bezos followed closely with a $15.9 billion decline as Amazon stock posted its worst trading session in almost three years.
Tesla shares also came under pressure, falling by more than 5 percent. Elon Musk’s personal net worth declined by $11 billion as investors reacted to the company’s weakening delivery outlook and concerns over executive focus.
Recent speculation about Musk stepping back from his advisory role in the Trump administration failed to offset negative sentiment around the company’s stock performance.
Losses were not confined to the United States as Shopify’s chief executive Tobi Lütke lost more than 17 percent of his wealth after shares of the e-commerce firm fell 20 percent.
The company’s exposure to cross-border transactions and reliance on imported products made it vulnerable to the new tariff regime, which heavily penalizes global supply chains.
In Europe, LVMH shares dropped following expectations of a 20 percent U.S. tariff on goods from the European Union.
Bernard Arnault, chairman of the luxury conglomerate, lost $6 billion as the market priced in weaker U.S. demand for high-end consumer products.
The policy also affected Asian billionaires. Zhang Congyuan, founder of Chinese footwear group Huali Industrial, saw his fortune reduced by $1.2 billion.
The U.S. has imposed additional duties on Chinese imports, raising the cost of goods across the apparel and retail value chain.
Among the few who gained from the market correction was Carlos Slim, Mexico’s richest man.
The Mexican stock market rose modestly after the country was excluded from the U.S. tariff list, pushing Slim’s net worth up by nearly 4 percent.
The Middle East was the only region where net gains were recorded on the day.
Analysts note that the abrupt nature of the tariff policy has amplified market volatility and driven a rapid repricing of export-oriented stocks.
Trade economists warn that the measures could trigger retaliatory action from U.S. trading partners and disrupt supply chains that have remained stable since the pandemic recovery phase.
With more trade actions expected from the White House in the coming weeks, global markets may remain volatile.
Financial advisors have urged investors to reassess risk exposure to companies with heavy international operations as global trade dynamics continue to shift.
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