The Indian rupee weakened past 87 to the U.S. dollar for the first time ever on Monday in the wake of a slump in Asian currencies and equities after U.S. President Donald Trump's tariff threats became a reality.

Canada, Mexico and China have vowed to respond to sweeping new tariffs on their exports to the US announced by Trump. "Tariff announcement is necessary to hold China, Mexico, and Canada accountable for their promises to halt the flood of poisonous drugs into the United States," the White House said in a statement on X on Saturday.

The rupee depreciated 67 paise to hit record low of 87.29 against the US dollar in early trade on Monday after Trump Tariffs on Canada, Mexico and China triggered fears of a broad trade war.

The Indian rupee weakened past 87 per U.S. dollar for the first time on Monday, as Asian currencies slumped after U.S. President Donald Trump imposed tariffs on the country's largest trading partners,

Trump, in three executive orders in the weekend, imposed 25 per cent tariffs on Mexican and most Canadian imports, and 10 per cent on goods from China

This comes amid investor worries over potential trade war between US and its trading partners following tariff threats.

The rupee weakened past 87 per U.S. dollar for the first time on Monday (February 3, 2025), as Asian currencies slumped after U.S. President Donald Trump imposed tariffs on the country's largest trading partners, driving a surge in the U.S. dollar.

The Indian rupee is poised to open at an all-time low against the dollar on Monday, tracking a slump in Asian currencies and risk aversion on worries over a trade war between the U.S. and its trading partners.

The dollar index was up 0.3% at 109.8, while Asian currencies weakened, with the offshore Chinese yuan down 0.5% at 7.35 per US dollar.