Mutual Tariffs Suspended for 90 Days

On April 9th, just 13 hours after the United States officially implemented reciprocal tariffs on dozens of trading partners, President Donald Trump abruptly announced a 90-day suspension of those tariffs for all countries except China. The decision came as part of a broader move to ease international trade tensions while doubling down on punitive measures against Beijing.

Trump declared that while the U.S. would raise tariffs on Chinese imports from 104% to a steep 125%, countries currently in negotiations with the U.S. over tariff and non-tariff barriers would be granted a temporary reprieve. For those nations—approximately 70, including South Korea—the reciprocal tariffs were reduced to a basic rate of 10%, effective immediately.

Despite the temporary easing, the administration emphasized that key tariffs, such as the 25% duties on steel and automobiles, would remain in place. Trump’s decision came shortly after China announced a new round of retaliatory measures, prompting him to escalate tariffs further. “I will immediately raise the tariff to 125%,” Trump posted on his social media platform Truth Social, directly responding to Beijing’s actions.

He added that more than 75 countries had opted not to retaliate and had entered negotiations with the U.S. As a result, these countries would benefit from the 90-day grace period and the reduced 10% tariff rate. “These will also be implemented immediately,” he wrote.

Just days earlier, on April 2nd, Trump had unveiled a sweeping policy to implement reciprocal tariffs of 10% or more on all U.S. trading partners, citing widespread use of tariffs and non-tariff barriers against American goods. On April 5th, the U.S. began enforcing a base 10% tariff across the board, followed by additional country-specific tariffs targeting 57 entities—including major economies like Korea, Japan, China, and the European Union—starting at 12:01 AM on April 9th.

However, as global markets reeled from fears of an escalating trade war, Trump reversed course within hours, suspending the more aggressive country-specific tariffs for all but China. The administration’s sharp pivot appeared influenced by China’s uncompromising stance. In addition to matching U.S. tariff hikes, China issued a travel advisory against the U.S., signalling a full-scale confrontation rather than retreat.

On April 8th, Trump had already raised tariffs on Chinese goods from 84% to 104%. His April 9th moves to raise them again by 21 percentage points to 125% reflects the growing strain in U.S.-China relations. While other nations have moved to de-escalate, China’s firm countermeasures have placed it on a collision course with Washington, shaping the next phase of the global trade standoff.