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The tariff has been charged to 125%.
US president Donald Trump has announced that, for a period of 90 days, there will be a “pause” on tariffs and a reduction to the baseline 10% rate for most of the world’s countries. He has, however, raised the tariff on China once again, while – as the 10% baseline rate didn’t apply to them – tariffs on Canada and Mexico remain unaffected.
In a post on social media platform Truth Social, the US president wrote: “Based on the lack of respect that China has shown to the world’s markets, I am hereby raising the tariff charged to China by the United States of America to 125%, effective immediately.”
Trump confirmed during a press conference in the Oval Office that he would be willing to meet with China’s president, Xi Jinping, who he described as “a friend”.
In the aforementioned social media post, he went on to say that, because “more than 75” countries called representatives of the US to negotiate a trade deal, he has “authorised a 90 day pause, and a substantially lowered reciprocal tariff during this period, of 10%, also effective immediately”.
“Somebody had to do what we did,” Trump said in a press conference announcing the pause. “I did a 90-day pause for the people who didn’t retaliate, because I told them ‘if you retaliate then we’re going to double it’. And that’s what I did with China because they did retaliate.”
Before the pause was announced, member states of the European Union voted in favour of the European Commission’s proposal to introduce trade countermeasures against the US. This comes after a 20% tariff was imposed on the EU on 2 April and other US tariffs impacting the EU, such as those on imported steel, aluminium and motor vehicles, came into effect.
Despite this announcement, the EU – it seems – will only be subject to the 10% baseline tariff. Read more
Source: LOGISTICS MANAGER
