Overview

• President Trump announced a 145% tariff on Chinese imports while implementing a 90-day pause on tariffs for other trading partners.
• China responded with 125% tariffs on U.S. goods, accusing the U.S. of violating international trade norms.
• The escalating trade conflict has caused significant volatility in global financial markets, with U.S. stock indexes experiencing dramatic swings before closing higher for the week.
• Economic analysts warn of potential recession risks, with consumer sentiment dropping and inflationary pressures expected to rise due to higher tariffs.
• Both Trump and Xi Jinping are using the tariff measures to project strength domestically, but experts remain uncertain about the long-term strategy or potential resolution.