Trump Escalates US-China Trade Tensions with 125% Tariffs While Pausing Other Import Duties

President Donald Trump established a temporary tariff hold during a significant policy change but immediately enforced brutal 125% import taxes against China. The two largest international economies confront each other more fiercely in their continuing trade conflict.

China started to tax every product from the US by 84% on Thursday after implementing the action. According to the Chinese Commerce Ministry official, their nation must protect its interests, and trade conflicts create no winners.

The White House warned trading partners not to retaliate, or they would get substantial benefits from the United States. Through this tactic, China faces international isolation as other nations receive market benefits.

Following market turmoil from his April 2 tariff announcements, Trump made a quick decision due to alarmingly negative stock market trends and danger from rising US bond yields.

Key points about the revised tariff strategy:

  • A general 10% blanket duty remains on almost all US imports
  • Existing duties on autos, steel, and aluminum remain unchanged
  • Canada and Mexico still face 25% fentanyl-related tariffs unless they comply with USMCA trade agreement rules
A Khan

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