1 week ago
Last Updated:April 09, 2025, 23:54 IST
US President Donald Trump on Wednesday announced to impose a sweeping 125% tariff on all goods imported from China, with the measure set to take effect immediately.
US President Donald Trump (Reuters Image)
US-China Trade War: US President Donald Trump on Wednesday announced a 90-day pause on his reciprocal tariff plans for countries that chose negotiations over retaliation.
In contrast, Trump imposed a sweeping 125% tariff on all goods imported from China, effective immediately, in retaliation for Beijing’s announcement earlier today of 84% tariffs on all American goods.
Trump Halts Reciprocal Tariffs Regime
The US President, in a post on Truth Social, said that following the announcement of reciprocal tariffs last week, more than 75 countries have approached the United States for negotiations and have not retaliated against the decision.
“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, and a substantially lowered Reciprocal Tariff during this period, of 10%, also effective immediately," he said.
On April 2, the US President announced his “reciprocal tariff" move, under which the U.S. would impose tariffs on other countries amounting to roughly half the rate those nations charge the U.S. He imposed a 10% global tariff on dozens of countries and promised far steeper “reciprocal" tariffs on April 9 for nations he claims have “ripped off" America.
During his speech from the White House Rose Garden, Trump said he is “finally putting America first."
“Today we’re standing up for the American worker, and we are finally putting America first," the president said. “We truly can be very wealthy. We can be so much wealthier than any country, it’s not even believable, but we’re getting smart," he had said.
Why Was The Decision Changed
US Treasury Secretary Scott Bessent stated that the decision was made by the President, and emphasized that the current pause is intended for negotiation, not in response to market reaction. He noted that the US will work with its trading partners to find a solution and is expecting countries to present their best deals.
Bessent added that the administration has been overwhelmed by the positive response from its allies, citing Vietnam, Japan, India, and South Korea as examples. She also indicated that countries choosing not to retaliate will be rewarded, while adding that all options remain on the table as the U.S. awaits China’s next move.
Bangladesh’s Yunus Thanks Trump
Bangladesh’s interim government chief Muhammad Yunus thanked President Trump for the 90-day pause on tariffs.
“Thank you, Mr. President, (@POTUS) for responding positively to our request for the 90-day pause on tariffs. We will continue to work with your administration in support of your trade agenda," Yunus said in a post on X.
“Thank you, Mr. President, (@POTUS) for responding positively to our request for 90-day pause on tariffs. We will continue to work with your administration in support of your trade agenda."@CApress_sec— Chief Adviser of the Government of Bangladesh (@ChiefAdviserGoB) April 9, 2025
US-China Trade War
In a move that marks the sharpest escalation in US-China trade tensions since the previous tariff war, Trump in a post on Truth Social said that China has shown no respect to global markets with its retaliatory moves.
“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 realize that the days of ripping off the U.S.A., and other Countries, is no longer sustainable or acceptable," he said.
Earlier today, Beijing announced 84% tariffs on American goods in a move to retaliate US’ additional 50% tariff, a net total of sweeping 104% tariff on all Chinese goods, which were announced a day earlier.
According to China’s Customs Tariff Commission of the State Council, the additional tariffs for all imported goods originating in the US, raised from earlier 34%, would come into effect from 12:01 am (local time) on April 10.
Additionally, Beijing announced to add six US entities, including, Shield AI, Inc., Sierra Nevada Corporation, Cyberlux Corporation, Edge Autonomy Operations LLC, Group W, and Hudson Technologies Co, to its unreliable entity list.
The two countries have been involved in a game of tit-for-tat on trade. Both sides have hardened their positions and sharpened their tools. While, Trump is invoking “America First" and wielding tariffs like a political cudgel, his Chinese counterpart stands firmly against each new tariff introduced by Washington.
War Of Words
On Monday, Trump slammed China for ignoring previous warnings against issuing retaliatory tariffs, saying that any action would be met with “immediate and substantially higher" tariffs. He had also said all talks with China would be terminated and negotiations would be done with other countries instead.
However, China accused the US of “blackmailing" Beijing with the renewed tariff threat, saying it was making “a mistake on top of a mistake". China said it is fully prepared to counter Washington’s tariffs, saying that it has continued to develop and progress since the first trade war with the US during Trump’s first term.
Location :Washington D.C., United States of America (USA)
First Published:April 09, 2025, 22:55 IST
News world Donald Trump's New Doctrine: 90-Day Pause And Lower Levies For Many; 125% Tariff On China
