Today's News: Tariffs On, Tariffs Off
President Trump abruptly paused most reciprocal tariffs for 90 days after global financial markets reacted with sharp volatility. But China tariffs increased to 125%.
Photo: Jabin Botsford/The Washington Post
Overview
Date: April 9, 2025
Topic: Trump Reverses Course on Global Tariffs Amid Market Turmoil
Summary: President Donald Trump abruptly paused his sweeping "reciprocal" tariffs on most countries for 90 days after global financial markets, especially bond markets, reacted with sharp volatility to the new trade measures. The announcement, made Wednesday afternoon, excludes China, which now faces an increased tariff rate of 125%. The decision surprised many of Trump’s advisers, lawmakers, and foreign officials, some of whom learned of it through social media. Although framed as a tactical move to invite trade negotiations, the reversal followed intense pressure from business leaders and lawmakers and mounting signs of economic instability. The 10% universal tariff remains in place, and tariffs on autos, steel, and aluminum are unaffected.
Sources
The New York Times – From ‘Be Cool!’ to ‘Getting Yippy’: Inside Trump’s Reversal on Tariffs
CNN – Inside Trump’s tariff retreat: How fears of a bond market catastrophe convinced Trump to hit the pause button
NBC News – Trump suddenly backs off major tariff plan after days of economic and market turmoil
Fox News – Trump says he'll 'take a look' at exempting some larger US companies hit especially hard by tariffs
The Washington Post – The 18 hours that changed Trump’s mind on trade
Wall Street Journal – Trump Pauses ‘Reciprocal’ Tariffs, but Hits China Harder
Key Points
Trump imposed sweeping tariffs but reversed course within a week, pausing "reciprocal" tariffs on most nations while increasing China's tariff rate to 125%.
The reversal was driven largely by economic fears: collapsing bond markets, stock sell-offs, and rising recession forecasts.
Treasury Secretary Scott Bessent played a key role in urging the president to reconsider, citing financial system instability.
Trump’s advisers attempted to frame the pause as a strategic move to open trade negotiations with over 75 countries.
The 10% universal tariff remains in place, and tariffs on China, steel, aluminum, and autos are unaffected.
Unique Highlights
The New York Times revealed that U.S. Trade Representative Jamieson Greer learned of the reversal while testifying before Congress and that Trump’s decision contradicted earlier public messaging from Bessent and press secretary Karoline Leavitt.
CNN highlighted the bond market’s rare reaction—yields rose during a market panic—prompting concern from seasoned financial officials.
NBC News reported that Tesla stock surged 22% and quoted billionaire investor Bill Gross criticizing the market volatility caused by Trump’s unpredictability.
Fox News included Trump's statement that he would consider company-specific exemptions based on "instinct" and not formal criteria.
The Washington Post detailed an overnight timeline, including Trump’s post-Hannity call with senators and his morning meeting with Swiss President Karin Keller-Sutter.
The Wall Street Journal noted confusion and criticism among Republicans and Democrats, including accusations of insider trading due to the timing of the announcement.
Contrasting Details
Fox News emphasized Trump’s willingness to grant tariff exemptions to U.S. companies and cast his flexibility as pragmatic, while The New York Times and CNN presented it as impulsive and poorly planned.
The Wall Street Journal and NBC News both acknowledged the surprise and confusion caused by Trump’s reversal, but Fox News omitted mention of internal chaos or market panic.
CNN and The Washington Post stressed the reversal was driven by economic fear, while Bessent, in several outlets, insisted it was a premeditated negotiation tactic.
NBC News was alone in emphasizing the still-significant scope of the trade war and uncertainty going forward, while The Washington Post focused on Trump’s rapidly evolving rationale for the reversal.
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