Global Stock Market: 2026 begins with pressure on global markets, tariff relief and EV war intensifying

News Topical, Digital Desk : The new year 2026 begins today with a mixed picture in global markets. US stock markets are under constant downward pressure, while there has been some news of relief on the tariff front. The competition between BYD and Tesla in the auto sector appears to be intensifying. A series of economic data also begins today, which is expected to increase the excitement about market direction. Let's understand, in layman's terms, what's important in global markets today.

Global markets are beginning 2026 on Wall Street in the US, where the sentiment currently appears weak. US markets have been declining for four consecutive trading sessions. The Dow Jones Industrial Average fell by more than 300 points on the last trading day of 2025.

Volume is expected to be subdued on the first day of the new year as many major investors return from vacation. However, the real market activity is expected to pick up next week, when large funds and institutional investors will be active. Tariff Hike Postponed: Significant relief news has emerged regarding tariffs. The Donald Trump administration has postponed a decision to increase tariffs on wooden products such as furniture, kitchen cabinets, and vanities. These new tariffs were originally scheduled to take effect on Thursday, but have now been postponed until January 1, 2027. In September, Trump announced that tariffs on certain wooden products would be increased from 25 percent to 30 percent. The tariff on kitchen cabinets and vanities was initially planned to be increased from 25 percent to 50 percent. However, an important point is that the 25% tariffs already in place will remain in place. While this isn't a complete reprieve, the increase has certainly provided some relief. This could impact consumer products and interior design sectors in the US. Tariff Cut on Italian Pasta: Another positive news on the tariff front. According to the Italian Foreign Ministry, the US has decided to reduce the anti-dumping tariffs imposed on Italian pasta brands. The US Commerce Department took this step before the completion of the anti-dumping investigation, the final report of which is expected in March. Tariffs of up to 92% were imposed on these products in September, but have now been reduced to a range of 2 to 11%. Although these rates may change after the final investigation report, this is currently considered a welcome relief for European food companies. 

BYD vs. Tesla: The EV Battle Continues: Competition in the auto sector appears to be intensifying. Chinese electric vehicle giant BYD sold approximately 4.6 million vehicles in 2025. This figure was in line with the company's previously reduced guidance. However, annual growth was 7.7 percent, the lowest since 2020. BYD is now focusing on increasing sales overseas in 2026. The company aims for overseas sales of 1.5 to 1.6 million units in 2026, compared to approximately 1.05 million units in 2025. On the other hand, the picture looks a bit challenging for Tesla. Tesla sales in Q4 are estimated to be approximately 4.4 million vehicles, an 11 percent decline from last year. The company's internal estimates point to a decline of approximately 15 percent. Despite this, Tesla shares are near record highs. This is largely due to Elon Musk's story about robotic vehicles and AI, which has maintained investor confidence. 

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