Key Takeaways
- The US President Donald Trump has announced a 90-day pause on new tariffs, but raised rates for China to 125 percent, escalating the trade war.
- The 90-day pause is intended to give countries time to negotiate a solution to trade issues, but it has not addressed the US-China trade war.
- The ongoing trade war has led to uncertainty and volatility in global markets, with countries like China and the US imposing tariffs on each other’s goods.
Washington: US President Donald Trump on Wednesday announced a 90-day pause on new tariffs which went into effect at midnight, but making an exception for China, raised the rates for imports from the Asian economic giant to an astounding 125 percent.
US President Donald Trump made a significant announcement on his microblogging site Truth Social, stating that over 75 countries have called US representatives to negotiate a solution to trade issues, including tariffs and trade barriers.
He also noted that there countries have not “at my strong suggestion”, retaliated against the US after Washington slapped reciprocal tariffs on them.
“Based on the fact that more than 75 Countries have called Representatives of the United States, including the Departments of Commerce, Treasury, and the USTR, to negotiate a solution to the subjects being discussed relative to Trade, Trade Barriers, Tariffs, Currency Manipulation, and Non Monetary Tariffs, and that these Countries have not, at my strong suggestion, retaliated in any way, shape, or form against the United States, I have authorized a 90 day PAUSE,” Trump posted.
He also announced a substantially lowered reciprocal tariff during this period, of 10%, also effective immediately.
At the same time, further escalating his trade war with Beijing, Trump raised the tariff on imports from cHINA to 125 per cent.
“Based on the lack of respect that China has shown to the World’s Markets, I am hereby raising the Tariff charged to China by the United States of America to 125%, effective immediately. At some point, hopefully in the near future, China will realise that the days of ripping off the U.S.A., and other Countries, is no longer sustainable or acceptable,” he wrote.
