News Brief
Trump Slaps 125 Per Cent Tariff On China Amid Escalating Trade War, Offers 90-Day Breather To Rest Of The World
US president Donald Trump.
After a day of escalating rhetoric between Washington and Beijing, US President Donald Trump made twin tariff announcements—easing pressure on most nations while hardening his posture against China, NDTV reported.
China responded to the US’s 104 per cent tariff hike with its own increase, lifting levies on American goods to 84 per cent from 34 per cent, marking a significant escalation in the ongoing trade war between the two countries.
The US hit back immediately and aggressively.
Taking to his social media platform TruthSocial, Trump declared that tariffs on Chinese imports would surge to 125%, with immediate effect.
"At some point, hopefully in the near future, China will realise that the days of ripping off the USA, and other countries, is no longer sustainable or acceptable," Trump wrote.
In contrast, Trump offered relief to other nations by pausing additional tariffs for 90 days, maintaining a base rate of 10 per cent.
"Conversely, and based on the fact that more than 75 Countries have called Representatives of the United States, including the Departments of Commerce, Treasury, and the USTR (United States Trade Representative), to negotiate a solution to the subjects being discussed relative to Trade, Trade Barriers, Tariffs, Currency Manipulation, and Non Monetary Tariffs, and that these Countries have not, at my strong suggestion, retaliated in any way, shape, or form against the United States, I have authorized a 90 day PAUSE, and a substantially lowered Reciprocal Tariff during this period, of 10%, also effective immediately. Thank you for your attention to this matter!" the US President wrote.
India has responded cautiously to Trump's tariffs, despite a 26 per cent additional levy announced last week, and emphasised that a bilateral trade deal with the US is in the works.
"On the third, we had a detailed press release issued by the Ministry of Commerce, in which India's position was made clear. We are studying the implications of the tariffs that have been announced," Ministry of External Affairs Spokesperson Randhir Jaiswal said on Wednesday.
"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. India values its comprehensive global strategic partnership with the US and is committed to working closely with it... Both teams are in discussion and hopefully we can close it (the agreement)," he added.
Markets in India, shaken by recent tariff announcements, may find relief from the pause. It also gives New Delhi a window to finalise the US deal and prepare for future tariff scenarios.
