Trump Cuts Most Tariffs to 10% but Increases Tariffs on China to 125%
President Trump, in a post on Truth Social, which is apparently how the world’s financial markets now run: 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. 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. 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, 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 entire stock market jumped on Trump’s announcement, with the S&P 500 up 8% as I type this. Apple is up 9%, Meta 13%, Nvidia 16%, and Tesla 19%. I’m not sure why though. All Trump seems to have done is switch from waging a trade war against the entire world to a trade war against China. And the 10% tariffs Trump now claims we’re applying to imports from the rest of world are themselves economic nonsense — they only look low compared to the nonsensical rates Trump announced a week ago. We’re at the whims of a mad king. Trying to report this as having any sort of logic in a traditional economic sense is folly. It’s like trying to make scientific sense out of the biblical fable of Noah’s Ark. ★
President Trump, in a post on Truth Social, which is apparently how the world’s financial markets now run:
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. 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. 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, 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 entire stock market jumped on Trump’s announcement, with the S&P 500 up 8% as I type this. Apple is up 9%, Meta 13%, Nvidia 16%, and Tesla 19%. I’m not sure why though. All Trump seems to have done is switch from waging a trade war against the entire world to a trade war against China. And the 10% tariffs Trump now claims we’re applying to imports from the rest of world are themselves economic nonsense — they only look low compared to the nonsensical rates Trump announced a week ago. We’re at the whims of a mad king. Trying to report this as having any sort of logic in a traditional economic sense is folly. It’s like trying to make scientific sense out of the biblical fable of Noah’s Ark.
