Stocks in Asia mostly declined on the back of the Dow Jones Industrial Average falling by more than 600 points overnight.
In Japan, the Nikkei 225 tumbled 459.36 points, or 2.1%, to 22,810.52.
Meanwhile, the Japanese yen, which is widely seen as a safe haven currency, was at 113.94 against the U.S. dollar, after strengthening from levels above 114.1 in the previous session.
In Hong Kong, the Hang Seng Index gained 159.69 points, or 0.6%, to 25,792.87
Shares of Apple supplier Japan Display plunged 9.5% after the company reported its sixth straight quarterly operating loss and lowered its outlook.
In Korea, shares of industry heavyweights saw a sharp pullback, as Samsung Electronics lost 1.6% while SK Hynix dropped 3.5%.
In Australia, markets faltered with almost all sectors seeing losses. Energy stocks fell 1.9% while the heavily weighted financial subindex saw losses of 2.2%.
Shares of Australia's so-called Big Four banks saw sharp declines: Australia and New Zealand Banking Group shed 1.2%, Commonwealth Bank of Australia lost 1.2% and National Australia Bank was lower by 1.5%. Westpac saw the largest percentage decline among the four, falling by 5.4%.
The Australian dollar traded at $0.7205 U.S. after sliding from levels above $0.723 yesterday.
International media reported that U.S. President Donald Trump thinks threatening more tariffs on overseas-made cars is his best negotiating tactic on trade. The report said Trump has told aides he was able to get a better trade deal with Canada because he threatened Prime Minister Justin Trudeau with levies on cars made in Canada.
Trump has considered slapping a 25% charge on cars made outside the U.S. since earlier in the year.
The Axios report comes ahead of a highly-anticipated meeting between Trump and Chinese President Xi Jinping at the upcoming G-20 summit.
In other markets
In Shanghai, the CSI 300 strengthened 32.24 points, or 1%, to 3,237.38
In Taiwan, the Taiex index dumped 55.37 points, or 0.6%, to 9,775.84
In Korea, the Kospi index gave back 9.21 points, or 0.4%, at 2,071.23
In Singapore, the Straits Times Index slid 14.55 points, or 0.5%, to 3,053.60
In New Zealand, the NZX 50 lost 95.33 points, or 1.1%, to 8,861.52
In Australia, the ASX 200 stumbled 107.07 points, or 1.8%, to 5,834.23
