Asian stocks dropped Friday after Trump threatened 100% tariffs on imported drugs, spiking market fears.

Asian stock markets fell Friday after former U.S. President Donald Trump threatened 100% tariffs on imported pharmaceuticals starting October 1, targeting branded drugs unless manufacturers have U.S. facilities. Drugmakers in South Korea, Japan, and Hong Kong saw shares drop, with the Hang Seng Biotech Index falling 2.58%. Broader regional indices declined, including Japan’s Nikkei 225, South Korea’s Kospi, and Hong Kong’s Hang Seng, while U.S. stocks also dipped due to stronger economic data raising concerns about fewer Federal Reserve rate cuts. Treasury yields rose, oil prices increased, and the dollar weakened slightly. Analysts noted the tariffs could raise U.S. effective rates and heighten trade tensions, though broader economic impacts on Asia may remain limited.