Trump Halts Tariffs for 90 Days on Most Nations, Escalates Trade War with China

In a surprising shift in U.S. trade policy, President Donald Trump announced on Wednesday a 90-day suspension of reciprocal tariffs on most countries, sparing them from the steep duties imposed earlier this week. The exception, however, is China, which now faces an intensified tariff rate of 125% on its imports, effective immediately. The announcement, detailed in a post on Truth Social, marks a dramatic pivot from Trump’s initial plan to apply hefty tariffs across dozens of trading partners.

Trump justified the pause by noting that over 75 countries had reached out to U.S. officials including representatives from the Departments of Commerce, Treasury, and the U.S. Trade Representative to negotiate solutions to trade disputes. He emphasized that these nations had refrained from retaliating against the U.S., a restraint he attributed to his firm stance. As a result, the reciprocal tariff rate for these countries has been reduced to 10% during the 90-day period, also effective immediately.

China, however, remains squarely in the crosshairs of Trump’s trade strategy. Citing what he called a “lack of respect” for global markets, the president raised tariffs on Chinese goods from an already substantial 104% implemented just days ago to the new 125% threshold. “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,” Trump stated.

The decision follows a tumultuous week for global markets, which had been rattled by the initial rollout of Trump’s tariff plan. The 90-day freeze does not extend to Canada and Mexico, where goods remain subject to 25% fentanyl-related tariffs tied to compliance with the U.S.-Mexico-Canada trade agreement’s rules of origin. This carve-out underscores the administration’s focus on specific bilateral issues even as it eases broader trade tensions.

U.S. stock markets responded positively to the news, posting significant gains after days of uncertainty. The move appears to narrow Trump’s sprawling trade dispute into a more focused confrontation with China, offering a temporary reprieve to other nations while negotiations proceed. As the 90-day clock ticks, the world watches to see whether this pause will hold or if it’s merely a brief lull in an escalating economic standoff.