Trump Hits Pause on Tariffs: A 90-Day Relief for Global Trade

U.S. President Donald Trump has paused many of his tariffs for 90 days to give room for negotiation, setting a 10% import tariff on many global goods. Meanwhile, tariffs on Chinese goods have increased to 125%, with specific sector exemptions maintained. Canada and Mexico retain their existing tariff conditions.

In an unexpected turn of events, U.S. President Donald Trump has announced a temporary pause on certain tariffs imposed on global trading partners. On Wednesday, Trump reduced duty rates to 10% on goods imported from numerous countries for the next 90 days, aimed at negotiating lower trade barriers. This move comes amid a volatile market week that saw trillions wiped off global stock values, showcasing Trump's unpredictable approach to international trade negotiations.

The announcement indicates that reciprocal tariffs affecting 57 nations, including major U.S. trade partners like the European Union, Japan, and South Korea, are paused. These countries will revert to a 10% duty rate. However, tariffs on Chinese goods have escalated to 125% amidst ongoing trade tensions, continuing the tit-for-tat economic conflict between the two major economies.

Notably, Canada's and Mexico's goods are exempt from recent tariff changes due to compliance with USMCA rules, while specific sectors like autos and metals, remain subject to high tariffs. Despite some exemptions for critical sectors like oil and energy, future investigations are expected to adjust trade policies further.

(With inputs from agencies.)