Trump Slashes Global Tariffs to 10%, Targets China with 125%

In a bold trade policy shift, former U.S. President Donald Trump has temporarily reduced tariffs to 10% for most countries, while sharply increasing tariffs on China to 125%, escalating tensions with the world's second-largest economy.

Temporary Relief for Most Nations

Trump announced a 90-day pause on tariffs, lowering import rates to 10% for most U.S. trade partners to allow for negotiations. This move came just hours after reciprocal tariffs took effect on goods from nearly 90 countries.

China Faces Heavy Blow

In contrast, Trump raised tariffs on Chinese imports to 125%, accusing China of showing "disrespect for the world's markets." China retaliated by hiking its own tariffs on U.S. imports to 84%, heightening trade tensions.

Markets React Positively

Following the announcement, U.S. stock markets rebounded strongly. The S&P 500 surged 7%, marking its largest single-day gain in five years after four consecutive days of losses.

Political and Economic Reactions

Trump claimed over 75 countries reached out to negotiate following his initial tariffs. Treasury Secretary Scott Bessett stated this easing was part of Trump's broader strategy, while Commerce Secretary Howard Lutnick called the Truth Social post announcing the change “one of the most extraordinary of his presidency.”

Criticism from Democrats

Senate Minority Leader Chuck Schumer criticized Trump’s unpredictability, labeling his leadership style as chaotic and lacking global understanding.

Looking Ahead

As the 90-day window opens for trade talks, the international community watches closely to see if Trump's gamble results in real reforms—or deeper divisions.