People were getting ‘yippy,’ says Trump on tariff pause
U.S. President Donald Trump has announced a 90-day pause on most of his recently implemented "reciprocal" tariffs, saying the decision was driven by growing nervousness in the markets and among global partners.
Washington: U.S. President Donald Trump has announced a 90-day pause on most of his recently implemented “reciprocal” tariffs, saying the decision was driven by growing nervousness in the markets and among global partners.
Reciprocal Tariffs Paused for 75+ Countries
Trump said the revised tariff structure would lower import taxes to 10% for over 75 countries that have not retaliated against the United States with their own tariffs. These countries, including India, are now seeking to negotiate individual trade agreements with the U.S., such as a potential Bilateral Trade Agreement.
China Excluded: Tariffs on Chinese Goods Raised to 125%
China, however, remains a major exception. Trump announced an increase in tariffs on Chinese imports to 125%, in retaliation to Beijing’s own move to impose an 84% levy on U.S. goods.
Market Turmoil Prompts Sudden Reversal
The President announced the tariff pause midday Wednesday on Truth Social, during a period of significant financial market volatility. As the announcement broke, the Nasdaq surged to a 20-year high, driven by relief among investors and traders.
Trump: “People Were Getting Yippy”
When asked about the abrupt reversal, Trump told reporters:
“I thought that people were jumping a little bit out of line. They were getting yippie, you know, they were getting a little bit afraid.”
He added, “You have to be flexible.”
Trump’s sudden pivot caught even his own officials off guard, especially after his aides had previously declared the tariffs non-negotiable.
Also Read: Trump Suspends Global Tariffs for 90 Days in Bid to Calm Financial Markets
Truth Social Post Details Revised Tariff Policy
In his post, Trump emphasized both market concerns and the diplomatic outreach from other nations:
“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 per cent, effective immediately.”
He continued:
“More than 75 Countries have contacted U.S. representatives to negotiate. Because these countries have not retaliated, I have authorized a 90-day PAUSE, and a substantially lowered Reciprocal Tariff during this period, of 10 per cent, also effective immediately.”
Pressure from Wall Street and Advisors
The President’s decision comes amid vocal pushback from Wall Street figures like Bill Ackman, who had called for a 90-day suspension, and Elon Musk, who publicly criticized the tariffs and clashed with Trump advisor Peter Navarro.
Final Message to Markets: “Be Cool!”
Shortly after U.S. markets opened Wednesday, Trump posted a message intended to calm nerves:
“Be cool! Everything is going to work out well. The USA will be bigger and better than ever before.”
He followed up with a bold statement for investors, written in all caps:
“THIS IS A GREAT TIME TO BUY.”
