TAIPEI – The United States’ decision to impose high tariffs on steel and aluminum products reflects protectionism and will undermine global free trade, Taiwan’s finance ministry said on Friday.

On Thursday, US President Donald Trump had announced his decision to impose a 25 percent tariff on steel products and a 10 percent tariff on aluminum products from next week.

The island will closely monitor the implementation of the US’ plans and evaluate their impact on Taiwanese exports, the ministry said in a statement.

Stock markets in the US and other countries fell after the announcement of the tariffs, showing the concern of many investors the move could spark a trade war around the world, the ministry added.

On Friday, the Taiwan Stock Exchange closed down 0.81 percent and the stocks of steel companies fell 1.63 percent.