In April 2025, the Trump administration announced a 90-day suspension of new tariffs on over 75 countries and standardized existing tariff rates down to 10%, but China was excluded, with its tariffs on goods exported to the U.S. rising to 125%. This policy adjustment reflects Trump's 'carrot and stick' negotiation strategy, temporarily using tariffs to gain negotiating space while aiming to reshape global trade rules and promote the return of manufacturing in the long term.

From the market response, the news of the tariff suspension alleviated concerns over escalating trade friction, leading to a significant rise in U.S. stocks, with the Nasdaq index recording its largest single-day gain since 2001. However, this move is essentially a strategic buffer, intended to engage in negotiations with various countries during the 90-day window, demanding conditions such as market openness and increased purchases from the U.S., rather than a genuine abandonment of trade protectionism. In the long run, the fluctuations in tariff policy have triggered upheaval in global supply chains, causing American companies like Boeing and Tesla to face difficulties due to soaring costs and supply chain risks, with stagflation pressures possibly emerging in the third quarter.