President Donald Trump said the sweeping tariffs that he has imposed on Mexico, Canada and China may cause "short term" pain for Americans as global markets reflected concerns the levies could undermine growth and reignite inflation.

Asia markets slumped on Monday after Donald Trump slapped tariffs on Canada, Mexico and China, sparking fears that another bruising ‘America First’ trade war that could hit global growth.

The trade war has arrived and stocks are taking it badly. U.S. stock futures were tumbling in sympathy with global markets as investors reckon with the imposition of new U.S. tariffs against Mexico, Canada and China.