#TariffsPause
The US government has announced a 90-day pause on certain new tariffs, starting from April 10, 2025, to allow for negotiations with trading partners. Here's what you need to know ¹ ²:
- *Tariff Pause Details*:
- The pause applies to additional tariffs beyond the base 10% tariff rate.
- The pause lasts for 90 days, ending on July 9, 2025.
- China is exempt from this pause and will continue to face higher tariffs.
- *Reason for the Pause*:
- The US government aims to negotiate with trading partners to address trade imbalances and promote reciprocity.
- Over 75 countries have approached the US to discuss trade arrangements and national security concerns.
- *Impact on Trade*:
- The tariffs can generate revenue for the US government but may also lead to decreased demand for imported goods due to increased prices.
- Reciprocal countries may raise their own tariffs in response, affecting US exports.
- *Affected Countries*:
- Countries listed in Annex I to Executive Order 14257 will be subject to a uniform 10% tariff rate during the 90-day period.
- China will face increased tariffs, with rates rising from 84% to 125% on certain goods.
This pause is seen as an opportunity for the US government to engage in diplomatic efforts and potentially revise tariff rates based on negotiation outcomes.