EMERGING MARKETS-Thai, South Korean stocks sink on US auto tariffs

        *
      South Korea's stocks fall about 2%


        *
      Thai stocks hit one-week low, baht weakens 0.4%


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      Singapore's Straits Times index breaches 4,000 level


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      Indonesian markets closed for national holiday



    By Sameer Manekar
       March 28 (Reuters) - South Korean and Thailand equities tumbled on Friday after new
U.S. tariffs on auto imports jolted car and auto parts makers, while participants in Asian
emerging markets braced for the reciprocal U.S. tariffs set to take effect next week.
    Thailand's benchmark index slid 1% to a one-week low and the baht
weakened 0.4%, as Southeast Asia's biggest auto production centre and an export base for top
car makers stood exposed to the new U.S. auto tariffs.
    "The U.S.'s higher import tariffs on automobiles and auto parts will weigh further on
Thailand's ailing economy via an additional drag on the automotive sector," said Charnon
Boonnuch, an ASEAN economist at Nomura, noting that the reciprocal and auto sector tariffs
announced were a downside risk to Thailand's growth outlook.
    South Korea's KOSPI toppled nearly 2% in its second straight day of losses,
dragged lower by sharp losses in Hyundai Motor ( HYMTF ) and sister automaker Kia Corp ( KIMTF )
.
    The index has lost more than 3% over the past two sessions as the two automakers lost
billions of dollars in value.
    "Autos account for 9.4% of Asia's exports to the U.S., but the exposure is highest for
South Korea and Japan," said Sonal Varma, Chief Economist for India and Asia excluding Japan
at Nomura.
    Taiwan's benchmark index also slid nearly 2% to its weakest level since
mid-September last year. TSMC, the world's top contract chipmaker, plumbed to its
mid-September low point.
    The Korean won and Taiwan's dollar slipped around 0.3% each.
    An MSCI gauge of Asia EM equities skidded 0.8%, while a broader gauge of
world EM equities was down 0.7%.
    While analysts anticipate limited direct effects from U.S. tariffs on trade-reliant
Southeast Asian economies, they remain vulnerable to reciprocal U.S. tariffs and slower
growth in the global economy and key trading partners.
    Singapore's Straits Times index (STI) breached the 4,000 level for the first time,
led higher by a rally in top banks.
    This is a "key psychological milestone, which could be interpreted as strong investor
confidence, resilient blue-chip performance, and a favourable economic climate," said Daphne
Tan, Director of Business Development at CMC Markets Singapore.
    "Breaking this level suggests a strengthening sentiment, but sustaining it would depend
on global stability and market fundamentals."
    Malaysia's ringgit, Singapore's dollar, and the Philippine peso
edged lower. India's rupee appreciated 0.15%, while its Nifty 50 index was
largely unchanged in early trade.
    Indonesia's financial markets, remain closed for a national holiday till
April 7.

    HIGHLIGHTS:
    ** Trump Organization eyes multi-billion-dollar projects in Vietnam amid tariff risks
    ** Philippines' trade deficit narrows to $3.15 bln in Feb
    ** Indonesia's Widjaja family offers to take Sinarmas Land private in $986 million deal
    ** Malaysia's 10-year bond yield hovers at 3-week high of 3.781%


 Asia stock
 indexes and
 currencies
 as of 0411
 GMT
 COUNTRY      FX          FX            FX          INDEX    STOCKS            STOCKS
                RIC         DAILY %       YTD %                DAILY %           YTD %
 Japan                    +0.17         +4.24                -2.34             -7.46
 China                    -0.04         +0.47                -0.71             -0.06
 India                    +0.16         -0.03                -0.11             -0.33
 Indonesia                -             -2.81                -                 -8.04
 Malaysia                 -0.05         +0.84                -0.25             -6.72
 Philippines              -0.03         +1.20                0.02              -5.94
 S.Korea                  -0.15         +0.37                -1.84             6.66
 Singapore                -0.11         +1.82                0.20              5.33
 Taiwan                   -0.24         -1.21                -1.82             -6.43
 Thailand                 -0.40         +1.05                -0.42             -15.52




 (Reporting by Sameer Manekar in Bengaluru; Additional reporting by Ankur Banerjee in
Singapore; Editing by Janane Venkatraman
)