#CryptoRoundTableRemarks #CryptoCPIWatch #TradeLessons #TrumpTariffs

Donald Trump’s 2025 tariff policy marks one of the most aggressive protectionist shifts in modern U.S. history. Early in his second term, Trump dramatically raised tariffs on nearly all imported goods, sending the average effective U.S. tariff rate soaring from 2.5% to 27%-levels unseen in over a century. The most notable escalation targeted China: baseline tariffs on Chinese imports reached 145%, prompting China to retaliate with tariffs as high as 125% and restrictions on key exports like rare earth minerals.

Trump also imposed a universal 10% tariff on all U.S. imports, effective April 5, 2025, and sector-specific tariffs up to 50% on imports from 57 countries. These moves triggered global retaliation, stock market volatility, and warnings from economists about recession risks. Major industries, especially autos and manufacturing, faced higher costs and supply chain disruptions.

By May 2025, after intense negotiations, Trump and China agreed to reduce their respective tariffs by 115% but retain a 10% baseline tariff, with China suspending its recent retaliatory measures. While the deal eased immediate trade tensions, the 10% universal tariff remains, reflecting Trump’s continued “America First” approach and a fundamental reshaping of U.S. trade policy.