Trump pauses higher tariffs for 90 days

Trump pauses higher tariffs for 90 days but raises tariffs on China

President Donald Trump has paused higher tariffs on most U.S. trading partners for the next 90 days, reducing them to a 10% baseline tax. China is the exception.

Trump pauses higher tariffs for 90 days but raises tariffs on China

President Donald Trump has paused higher tariffs on most U.S. trading partners for the next 90 days, reducing them to a 10% baseline tax. China is the exception.

Trump pauses higher tariffs for 90 days but raises tariffs on China

President Donald Trump has paused higher tariffs on most U.S. trading partners for the next 90 days, reducing them to a 10% baseline tax. China is the exception.

President Donald Trump paused higher tariff rates on dozens of U.S. trading partners for the next 90 days, reducing them to a 10% baseline tax on most countries. Facing stock market declines, falling bond prices, and rising interest rates, President Trump announced the pause shortly after his higher tariffs took effect, giving more space for trade talks with 75 countries. But he raised taxes on Chinese imports to 125%, hours after China boosted tariffs on U.S. imports to 84%, which take effect Thursday."People were jumping a little bit out of line. They were getting a little bit yippy, a little bit afraid," President Trump said. "China was by far the biggest abuser in history. Somebody had to do it. They had to stop because it was not sustainable."There's been mixed messaging from the White House. President Trump says he was reacting to market pressures and had been thinking about a pause for at least a few days.But hours before, his Commerce Secretary Howard Lutnick and Treasury Secretary Scott Bessent said the market had nothing to do with it. And the President's press secretary, Karoline Leavitt, insisted the move was all part of the plan.The pullback received mixed reviews on Capitol Hill."I still don't know exactly what his total strategy is," Sen. Ron Johnson, R-Wisconsin, said. "We know what his goal was. He wants reciprocity. A lot of nations have come to the negotiating table.""He keeps changing things from day to day, his advisers are fighting among themselves, calling each other names," Senate Minority Leader Chuck Schumer, D-New York, said. "You cannot run a country with such chaos."Despite the president's reversal on higher tariffs, economists predict they've already taken a toll, leading to higher prices. Inflation overall is up about 3% since last year, and economists think tariffs will only lead to higher prices. The Federal Reserve says it is waiting to see the impact of tariffs in the weeks and months to come before considering any changes that could lower interest rates on things like credit cards and car loans.Meanwhile, the European Union announced retaliatory tariffs on $23 billion of U.S. goods. They were scheduled to take effect between next week and December, but early Thursday morning the EU announced a 90 day delay. The EU taxes are in response to President Trump's tariffs on steel and aluminum imports.

WASHINGTON —

on dozens of U.S. trading partners for the next 90 days, reducing them to a 10% baseline tax on most countries.

Facing stock market declines, falling bond prices, and rising interest rates, President Trump announced the pause shortly after his higher tariffs took effect, giving more space for trade talks with 75 countries.

But he raised taxes on Chinese imports to 125%, hours after, which take effect Thursday.

"People were jumping a little bit out of line. They were getting a little bit yippy, a little bit afraid," President Trump said. "China was by far the biggest abuser in history. Somebody had to do it. They had to stop because it was not sustainable."

There's been mixed messaging from the White House. President Trump says he was reacting to market pressures and had been thinking about a pause for at least a few days.

But hours before, his Commerce Secretary Howard Lutnick and Treasury Secretary Scott Bessent said the market had nothing to do with it. And the President's press secretary, Karoline Leavitt, insisted the move was all part of the plan.

The pullback received mixed reviews on Capitol Hill.

"I still don't know exactly what his total strategy is," Sen. Ron Johnson, R-Wisconsin, said. "We know what his goal was. He wants reciprocity. A lot of nations have come to the negotiating table."

"He keeps changing things from day to day, his advisers are fighting among themselves, calling each other names," Senate Minority Leader Chuck Schumer, D-New York, said. "You cannot run a country with such chaos."

Despite the president's reversal on higher tariffs, economists predict they've already taken a toll, leading to higher prices.

Inflation overall is up about 3% since last year, and economists think tariffs will only lead to higher prices.

The Federal Reserve says it is waiting to see the impact of tariffs in the weeks and months to come before considering any changes that could lower interest rates on things like credit cards and car loans.

Meanwhile, the European Union announced retaliatory tariffs on $23 billion of U.S. goods. They were scheduled to take effect between next week and December, but early Thursday morning the EU announced a 90 day delay. The EU taxes are in response to President Trump's tariffs on steel and aluminum imports.

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