By Nkiruka Nnorom with agency reports
As Trump’s tariffs on the 60 countries he called the worst offenders came into effect, there has been a flurry of reaction, including retaliatory measures, with China responding with additional 84 per cent tariff rates on US goods.
The Chinese tariff is an increase from the 34 per cent it already imposed on American imports, thus bringing its total import tax on the US to 118 per cent.
China has already also filed a complaint to the World Trade Organization, WTO, saying the US was violating international trade laws.
In response, President Trump raised the tariff against the US to 125 percent and also issued a 90 day pause to some tariffs.
Announcing the raise, he said: “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 percent, 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 per cent, also effective immediately.”
Meanwhile, the world’s stock markets have continued to react negatively to the tariff war. European stock markets have sustained losses across the major indexes. In France, the Cac 40 ended down 3.34% after falling 2.3% at opening this morning. The German Dax closed 2.96 percent lower, after opening to losses of 2.1 percent.
The London stock market has closed its trading for the day lower as the FTSE 100 index finished at 2.92 per cent down at 7,679.48, its lowest since March 2024. Asia’s markets closed between four percent to one percent lower with the exception of Shanghai, which advanced by 1.3 per cent. Wall Street opened earlier with mixed trading with the S&P 500 and Dow Jones down 0.19 percent and 0.5 percent respectively. However, the Nasdaq was up 0.7 per cent.
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