Trump declares a 90-day suspension of tariffs, while simultaneously increasing tariffs on China to 125%

Trump Announces 90-Day Tariff Suspension for Allies While Hiking China Levies to 125%

In a dramatic trade policy shift, former President Donald Trump unveiled a dual-track approach today, suspending tariffs on key allied nations for 90 days while imposing a sharp 125% increase on Chinese imports. The surprise move aims to ease economic pressures on U.S. partners while escalating pressure on Beijing in what analysts call one of the most aggressive trade maneuvers in recent years.  

The temporary tariff suspension applies to steel, aluminum, and select agricultural goods from the European Union, Japan, and the United Kingdom, offering relief to industries that have faced strained trade relations. Economists suggest the pause could help stabilize prices for American consumers while mending diplomatic ties. However, the simultaneous decision to raise tariffs on Chinese goods—including electronics, electric vehicles, and critical minerals—signals a hardline stance against what Trump described as "unfair trade practices and economic threats."  

Global markets reacted with cautious optimism to the allied tariff pause but braced for potential turbulence as China swiftly condemned the move, calling it "reckless economic warfare" and vowing countermeasures. U.S. business leaders expressed mixed reactions, with some applauding the relief for Western trade partners while others warned of supply chain disruptions from heightened tensions with Beijing.  

The bold two-pronged strategy underscores Trump’s "America First" doctrine, balancing cooperation with allies against an increasingly adversarial trade relationship with China. As the 90-day suspension takes effect, all eyes are on how Beijing will respond—and whether the escalated tariffs will force concessions or deepen the global economic divide.