Overview

• The U.S. has enacted universal 10% import tariffs, with higher rates for nations with significant trade deficits set to begin on April 9.
• China has responded with 34% tariffs on U.S. goods and restrictions on rare earth exports, intensifying trade tensions.
• The European Union has criticized the tariffs as unjustified and is preparing countermeasures while remaining open to negotiations.
• Global financial markets have reacted sharply, with major indices like the S&P 500 and DAX experiencing significant declines.
• Federal Reserve Chair Jerome Powell warns of higher inflation and slower U.S. economic growth, while domestic critics, including Senator Ted Cruz, express concerns about potential political fallout.