#TariffsPause Overview of Trump’s Tariff Pause

- Announcement: On April 9, 2025, President Trump announced a 90-day pauseon reciprocal tariffs for most countries, reducing rates to 10% to allow trade negotiations. However, tariffs on China were raised to 125%"effective immediately" due to its retaliatory measures .

- Scope: The pause applies to ~90 nations originally facing higher reciprocal tariffs (ranging from 11% to 50%), but the 10% baseline tariff** remains for all imports, including from allies like the UK and EU .

- Rationale: Trump cited negotiations with 75+ countries and China’s "lack of respect" for global markets as reasons. Treasury Secretary Scott Bessent claimed this was the "strategy all along" .

Market and Economic Impact Stock Market Surge: The S&P 500 jumped 7%- post-announcement, reversing days of losses triggered by initial tariff fears .

- Global Trade Forecast: The WTO projects a 0.2% decline** in global merchandise trade in 2025, with risks of a 1.5% drop if reciprocal tariffs resume. North America faces a 12.6% export decline .