Trump Announces 90-Day Tariff Reprieve for 75+ Countries, Increases Pressure on China
In a surprise announcement on Truth Social, President Donald Trump declared a 90-day suspension of elevated tariffs for over 75 countries that have recently engaged in trade discussions with the U.S. These nations will now face a standardized 10% reciprocal tariff—down from much steeper rates previously announced.
Effective Immediately – April 9, 2025
The revised tariff policy takes effect immediately. While the 10% base tariff applies to all nations, the additional reciprocal tariffs—such as the proposed 20% on European Union imports and 46% on Vietnamese goods—are temporarily paused for the eligible countries through July 8. The administration has framed this move as a gesture to facilitate negotiations and potentially secure favorable trade agreements.
China Excluded from Tariff Relief
China is notably excluded from this exemption. Instead, the U.S. has raised tariffs on Chinese goods to 125%, up from the previous 104%. Trump cited ongoing unfair trade practices and a lack of respect from Beijing as the reasons behind the increase. In response, China announced it will impose an 84% tariff on U.S. imports starting April 10, escalating the trade conflict.
Strategic Motive Behind the Shift
Countries such as Japan, South Korea, and Taiwan—none of which retaliated aggressively against U.S. tariff proposals—are reportedly among those included in the suspension. Trump is positioning the temporary pause as an opportunity to negotiate new trade deals and reduce the $1.9 trillion trade deficit he has repeatedly emphasized.
Market Reaction and Global Fallout
Global markets have been volatile in response. The Hang Seng Index in Hong Kong fell 12% earlier in the day, though the tariff pause may ease investor fears in the U.S. Reactions on social media are mixed—some view the move as a sign of strategic moderation, while others see it as a temporary delay in an ongoing trade war.