US Announces Tariff Pause for Non-Retaliatory Countries

On 9th April 2025, US President Donald Trump declared a 90-day pause on reciprocal tariffs for countries that have not retaliated with higher duties — such as India — while raising tariffs on Chinese goods to 125%.

Key Points

Tariff Pause for Allies: Over 75 countries including India, which did not retaliate against the US’s 26% tariff, will benefit from a 90-day pause and a reduced reciprocal tariff of 10%.
India–US Trade Talks: External Affairs Minister S. Jaishankar and Secretary of State Marco Rubio recently discussed the “early conclusion” of a bilateral trade deal.
China Tariff Hike: China, which retaliated with an 84% tariff after Trump’s earlier hikes totaling 104%, now faces a steep 125% tariff from the US.
Market Impact: The tariff moves come amid turmoil in US financial markets and growing pressure from figures like Bill Ackman and Elon Musk, who criticized the tariffs.