Donald Trump Announces Surprise 90-Day Tariff Pause for Most Nations, Except…

Donald Trump Announces Surprise 90-Day Tariff Pause for Most Nations, Except…

News Report Highlights:

• US President Donald Trump has announced a 90-day pause on tariffs exceeding the baseline 10% for all countries except China, effective immediately.
• Simultaneously, President Trump has sharply increased tariffs on China to 125%, following China’s retaliation with an 84% levy on US imports after an initial US tariff increase.
• President Trump stated that over 75 countries have been in discussions with the US on trade matters and have not retaliated against US tariffs, leading to the 90-day pause and a lowered reciprocal tariff of 10% for these nations.
• India, which has taken a “cautious approach” to the tariffs and is working on a bilateral trade deal with the US, is likely to get a “breather” from the pause, providing more time for negotiations.

By RMN News Staff

In a dramatic escalation of global trade tensions, US President Donald Trump has made a dual announcement on tariffs, offering a temporary reprieve to the majority of countries while significantly increasing levies on imports from China. 

The move, revealed on Wednesday (April 9) via his social media platform TruthSocial, sees a 90-day pause on tariffs exceeding the baseline 10% universal rate for over 75 nations. This unexpected pause comes alongside a sharp increase in tariffs on China, escalating to a staggering 125%, effective immediately.

The announcement followed a period of heightened trade friction between the United States and China, sparked by an initial US tariff increase on Chinese goods. Beijing swiftly retaliated, declaring an 84% levy on US imports, a substantial rise from the previous 34%. Trump’s subsequent move to further hike tariffs on China appears to be a direct and forceful counterstrike in this ongoing trade war.

In his TruthSocial post, Trump asserted that China would eventually “realise that the days of ripping off the USA, and other countries, is no longer sustainable or acceptable”. His tough stance on Beijing stands in stark contrast to the temporary relief offered to other nations.

Explaining the 90-day pause for countries other than China, Trump stated that over 75 nations had engaged with US representatives from various departments, including Commerce, Treasury, and the United States Trade Representative (USTR), to negotiate trade-related issues. 

These discussions covered topics such as trade barriers, tariffs, currency manipulation, and non-monetary tariffs. Crucially, Trump insisted that these countries had not retaliated against the US in any way, “at my strong suggestion”. As a result of this engagement and lack of retaliation, he authorised the 90-day pause and a “substantially lowered Reciprocal Tariff” of 10% during this period, also effective immediately.

A tweet from The White House, also on April 9, 2025, corroborated these announcements, clearly stating “🇨🇳125% TARIFF ON CHINA 🌎90-DAY PAUSE & LOWERED 10% RECIPROCAL TARIFF FOR OTHER COUNTRIES 🚨EFFECTIVE IMMEDIATELY“.

Impact on India:

The sources highlight that India has adopted a “cautious approach” to Trump’s tariffs, even after a 26% additional levy announced the previous week. The Ministry of External Affairs Spokesperson Randhir Jaiswal confirmed that India was “studying the implications of the tariffs that have been announced” following a detailed press release from the Ministry of Commerce.

Despite the earlier tariff announcement, India has emphasised that a bilateral trade deal with the US is actively “in the works”. Mr. Jaiswal further elaborated that “reciprocal tariffs and discussions are ongoing between India and US Trade teams for an expeditious conclusion of a mutually beneficial multi-sectoral bilateral trade agreement”. He affirmed India’s commitment to its “comprehensive global strategic partnership with the US” and expressed hope for a swift agreement.

The 90-day tariff pause is likely to provide a “breather” for Indian markets, which reportedly “plunged” after the initial tariff announcement. Furthermore, this period will grant New Delhi additional time to progress on the trade deal with the US and strategize its response to the levies should they be reimposed.

Policy Uncertainty and Strategic Intent:

The sudden tariff pause for most of the world, excluding China, has raised questions about the consistency of the Trump administration’s trade policy. The sources point to “policy uncertainty”, noting that after firmly defending the tariffs despite reported US market losses and asserting short-term pain for long-term gain, this pause signifies a potentially “abrupt change”.

Speculation has arisen regarding whether the tariffs were intended as a permanent measure or primarily as a negotiating tactic. Conflicting statements from key Trump aides on this matter have further fuelled this uncertainty, with Trump himself offering a “decidedly mixed” answer, suggesting that both permanent tariffs and negotiations could be on the table.

However, US Treasury Secretary Scott Bessent offered a different perspective on Wednesday, stating that Donald Trump’s “strategy” had unfolded as planned. According to news agency AFP, Bessent suggested that Trump had even “goaded China into a bad position”. This interpretation implies a deliberate and calculated approach behind the seemingly contrasting tariff actions.

Thus, Donald Trump’s latest pronouncements on tariffs represent a significant development in global trade. While most nations will experience a temporary respite from escalating tariffs, China faces a dramatically intensified trade battle with the US. 

For India, this pause offers a window of opportunity to advance crucial bilateral trade negotiations with the United States and reassess its strategy in the face of potential future tariffs. The contrasting approaches towards China and other nations, coupled with differing interpretations within the US administration, underscore the ongoing uncertainty and complexity of global trade policy under President Trump. The coming months will be crucial in determining the long-term implications of these sudden and significant tariff adjustments.