Trump has suddenly changed his tune! He admits that the 145% tariffs on China are too high and says they will "drop significantly".

Just when the China-U.S. trade war was heating up, U.S. President Trump made a sudden 180-degree turn. On April 22, he clearly stated at the White House: "The 145% tariffs on Chinese goods are indeed too high now, and they will definitely drop significantly in the future, but they will not drop to zero."

This statement has relieved global markets. On the same day, U.S. Treasury Secretary Mnuchin also said in a closed-door meeting that the China-U.S. trade war "can't go on" and that it is expected to cool down soon. When the news broke, the three major U.S. stock indices surged over 2.5%, with the Dow Jones Industrial Average rising more than 700 points. (

A few key points:

How exaggerated is the current tariff situation?

Currently, the tariffs imposed by the U.S. on some Chinese goods have reached as high as 245%. For example, the tax on a Chinese-made smartphone entering the U.S. may be more expensive than the phone itself. Trump himself said: "It used to be zero tariffs, but China 'played' us, and now 145% is too high."

Why the change of heart?

American consumers and businesses are struggling to cope:

90% of wedding dresses, 75% of toys, and most car safety seats in the U.S. come from China, and the tariffs have led to skyrocketing prices in the U.S.

The stock market is falling daily:

Just after Trump criticized the Federal Reserve, the U.S. stock market experienced a "Black Monday," with all three major indices dropping over 2%.

Allies are not rallying around:

Japan and India just concluded talks and found "no progress," while Vietnam is secretly preparing for negotiations to avoid being affected.

How does China respond?

A spokesperson for the Ministry of Foreign Affairs directly stated: "Negotiation is fine, but don't threaten while negotiating!"

The implication is: if you want to negotiate, do it properly; don’t threaten with tariffs while claiming to want an agreement.

What will happen next?

Although Trump said he would reduce tariffs, the China-U.S. negotiations have not formally started yet. Moreover, Trump has kept a backup plan: "Even if an agreement is reached, the U.S. will set the rules!"

Experts analyze that this may just be a smokescreen for the election, and whether a real negotiation will happen depends on future actions.

In simple terms:

Trump is now being pressured by economic challenges to soften his stance, but the trade tug-of-war between China and the U.S. is far from over.

It's like two boxers who are both bruised and battered, temporarily stopping to catch their breath, but neither has declared defeat.