Trump pauses reciprocal tariffs but hikes duties on China to 125pc

US President Donald Trump announced a 90-day pause in trade tariffs imposed last week and a further increase in tariffs for China.

Trump, said in his statement, that he is further increasing the trade tariff on China to 125 per cent and it will be applicable immediately.

He said he was taking a 90-day pause from the retaliatory tariffs imposed last week and that it would come into effect immediately.

Trump said that more than 75 countries have approached for tariff negotiations, these are the countries that have not taken retaliatory action against the United States.

The US president said that he has announced time for countries that are not imposing retaliatory tariffs, everyone wants to deal with tariffs, has withdrawn tariffs for a short time.

Trump said that people are getting scared about tariffs, the 90-day break is for those countries who have not imposed additional tariffs, there can be a deal with China, the fairest deal will be done.

US Treasury Secretary Scott Besnett and White House spokeswoman Caroline Levitt spoke to reporters at the White House.

A White House spokeswoman said retaliatory tariffs on countries, including Canada and Mexico, have been paused for 90 days, while a 10 per cent baseline tariff will remain in place.

After Trump’s announcement, the US stock market is seeing a boom, Dow Jones has gained 2,000 points and Nasdaq has seen an increase of 8 per cent.

After Trump’s announcement, the price of crude oil has increased by 2 per cent while the global gold market has increased by 3 per cent.