President Donald Trump announced a 90-day pause on tariff hikes for most U.S. trading partners, dialing back his administration’s latest trade measures amid increasing concerns from businesses and global allies. The move keeps a flat 10% tariff in place for most countries, but excludes China, where tariffs have now surged to 125%.
“We are hitting China hard,” Trump said during a press conference. “They don’t respect us on trade, and we’re not going to take it anymore.”
The announcement triggered a major rally on Wall Street. The Dow Jones Industrial Average jumped nearly 3,000 points, or close to 8%, while the S&P 500 and Nasdaq posted their best single-day gains since the early 2020s. Markets responded to the reduced risk of immediate global trade disruption, even as tensions with China escalated.
In response, China imposed steep new tariffs. According to Euronews, Beijing announced an 84% tariff on a wide range of U.S. goods just hours after Trump’…