#TariffsPause In April 2025, President Donald Trump announced a 90-day pause on most U.S. tariffs, aiming to ease global market tensions while sharply increasing tariffs on Chinese imports to 125%. This selective move was intended to pressure China more directly, while giving other trade partners a window to negotiate. Trump criticized Beijing for a "lack of respect," prompting China to retaliate with its own tariffs and export restrictions, especially on rare earth minerals crucial to U.S. industries.

While global stock markets reacted positively to the tariff pause — with the Dow Jones Industrial Average jumping — American consumer confidence dropped sharply. Fears of inflation and a broader economic slowdown weighed heavily on public sentiment. Despite some hopes, China denied that active trade negotiations were taking place, signaling a deepening standoff.

Trump hinted that another tariff pause after the 90 days is unlikely, framing the continued imposition of high tariffs as a strategic victory for the U.S. economy. However, many analysts warned that the trade war risks long-term damage to both economies. As tensions escalate, the future of U.S.-China relations remains uncertain, with global markets closely watching the next moves from Washington and Beijing.