The S&P/ASX200 was down 123.6, or 1.57 per cent, to 7736.2, within 30 minutes of the opening bell. The broader All Ordinaries sank 130.7 points, or 1.62 per cent, to 7922.
The session follows an overnight wipeout in US markets, with the S&P500 closing 4.85 per cent lower, as the tech-heavy Nasdaq tanked nearly six per cent and the Dow Jones Industrial Average fell 3.98 per cent.
"US stock markets plunged overnight following President Trump's unexpectedly hawkish "reciprocal" tariff announcement," IG Markets analyst Tony Sycamore said.
"A staggering $US2.4 trillion ($A3.8 trillion) was erased from the value of S&P 500 companies, the heaviest one-day drop since the dark days of the COVID crash."
Nine of 11 local sectors were trading lower, with the defensive consumer staples breaking the mould with a 0.9 per cent gain, and health care stocks barely holding above flat.
Coles shares were up 2.1 per cent to $20.72, while Woolworths was up 0.9 per cent to $30.39.
Energy has tanked, down six per cent and tracking with a more than five per cent drop in Brent crude futures.
IT stocks are also in trouble, down 4.5 per cent in early trading, in-line with the overnight Nasdaq sell-off.
Materials and financials stocks, which account for about half the local share market's value, were each down more than 1.5 per cent.
Again, the Commonwealth Bank was the best big four performer, down just over one per cent, while ANZ was the worst of the group, down 2.3 per cent after agreeing to boost its capital reserves at the prudential regulator's request.
Macquarie was even lower, shedding 3.9 per cent.
Iron ore miners have continued to slide as concerns swirl around China's growth forecasts, with BHP and Fortescue down 1.3 per cent each, and Rio Tinto bleeding 2.2 per cent lower.
The Australian dollar was up against the greenback, buying 63.21 US cents, up from 62.88 US cents on Thursday at 5pm.
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