Live Update: Trump Escalates China Tariffs to 125%, Offers 90-Day Pause for Other Nations

President Donald Trump has announced a dramatic escalation in trade tensions with China, raising tariffs on Chinese imports to an unprecedented 125%, effective immediately. In the same statement, he offered a 90-day pause and reduced tariffs for other countries that have sought negotiations with the United States.

"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," the President stated.

Historic Tariff Increase

The move represents a significant intensification of the ongoing trade dispute between the world's two largest economies, far exceeding the recent increase from 34% to 50%.

In contrast to the punitive measures against China, Trump announced a more conciliatory approach toward other nations. "I have authorized a 90-day PAUSE, and a substantially lowered Reciprocal Tariff during this period, of 10%, also effective immediately," he said.

Diplomatic Outreach

This two-track approach comes after what Trump described as outreach from more than 75 countries to various US departments, including Commerce, Treasury, and the Office of the United States Trade Representative. According to the President, these nations have refrained from retaliatory measures against recent US tariff actions.

Long-term Strategy

Trump's statement emphasized his belief that China's trade practices are no longer "sustainable or acceptable," suggesting that the extraordinary tariff level is intended to force significant concessions from Beijing in future negotiations.

Financial markets are expected to react strongly to this development, which comes amid already heightened global trade tensions and economic uncertainty. Analysts will be closely watching for China's response to this unprecedented tariff increase.ich comes amid already heightened global trade tensions and economic uncertainty. Analysts will be closely watching for China's response to this unprecedented tariff increase.