In a surprising move, U.S. President Donald Trump has announced a 90-day pause on new tariffs, but with a big exception: China is not included in this pause. The announcement came just as trade tensions between the United States and several global partners had been heating up. The pause means that for the next three months, the U.S. will not impose any new tariffs on goods coming from most countries. However, trade with China remains under the same strict measures, with no signs of easing from the Trump administration.
The reason behind this move? According to Germany’s incoming chancellor, Friedrich Merz, it might be Europe’s strong stance that made Trump take a step back. Speaking to German TV channel RTL, Merz suggested that the European Union’s firm position on trade may have influenced Trump’s decision. He cited comments from top EU official Ursula von der Leyen, who previously stated, “We are determined to fight back.” Merz said this resolve likely played a role in Washington’s pause.
Merz also highlighted his hope for a better trade relationship between Europe and the U.S., saying the ideal situation would be one with no tariffs at all 0% across the board. While this may be far off, the 90-day break could provide a window for negotiations and easing tensions. This announcement has caused a stir in international markets, with many watching closely to see if this pause will lead to longer-term changes in trade policies. For now, the message is clear: the U.S. is willing to hold off on new trade penalties—just not when it comes to China.
