President Donald Trump announced a complete pause on all the “reciprocal” tariffs that went into effect at midnight, with the exception of China.
Tariffs on China will be increased to 125% from 104%, he said.
Trump in a Truth Social post Wednesday said he has “authorized a 90 day PAUSE, and a substantially lowered Reciprocal Tariff during this period, of 10%, also effective immediately.”
“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 said in his social media post.
“At some point, hopefully in the near future, China will realize that the days of ripping off the U.S.A., and other Countries, is no longer sustainable or acceptable,” he wrote.
Stocks rocketed higher on the news, with the Dow surging 2,200 points, or 5.9%. The S&P 500 rose 6.5% and the Nasdaq was more than 8% higher.
Trump, however, did not indicate he was pausing the 10% universal tariff on all trading partners, with the exception of Canada and Mexico, that went into effect over the weekend.
Therefore, countries that were subjects of reciprocal tariffs will continue to have a 10% tariff levied on them.
