Topline
Just hours after they went into effect, President Donald Trump announced a 90-day pause on controversial, high reciprocal tariffs he placed on more than 180 countries Wednesday—and prior to the announcement, White House officials flip-flopped on whether or not the president was open to a pause.
President Donald Trump holds up a chart while speaking during a “Make America Wealthy Again” trade … More
Timeline
Commerce Secretary Howard Lutnick told CNN Trump was “not going to back off” the tariffs and that “there’s no postponing [the tariffs taking effect], they’re definitely going to stay in place for days or weeks.”
Lutnick appeared on CBS’ “Face the Nation with Margaret Brennan” and again said: “There is no postponing. They are definitely going to stay in place for days and weeks. That is sort of obvious.”
Peter Navarro, Trump’s senior counsellor for trade and manufacturing, also suggested Trump wasn’t interested in pausing the tariffs, saying in an opinion piece in the Financial Times the tariffs are “not a negotiation,” but “for the U.S., it is a national emergency triggered by trade deficits caused by a rigged system.”
When asked if Trump would consider a 90-day pause, National Economic Council Director Kevin Hassett said, “I think the president is going to decide what the president’s going to decide,” which sparked speculation a pause was in consideration and led to a brief rise in the Dow Jones Industrial Average, S&P 500 and Nasdaq.
White House press secretary Karoline Leavitt quickly shut down reports of a pause based on Hassett’s comments, telling CNBC it was “fake news.”
When asked in the White House if he’d “be open to a pause in tariffs to allow for negotiation” on the tariffs, Trump said, “Well, we’re not looking at that, we have many many countries that are coming to negotiate deals.”
Trump was also asked to clarify mixed messaging on whether the tariffs were permanent or negotiable, to which he said, “Both can be true … There could be permanent tariffs, and there could also be negotiations, because there are things that we need beyond tariffs.”
Trump’s Treasury Secretary Scott Bessent said on CNBC’s “Squawk Box” he thought “large countries with large trade deficits” would come to the table with “solid proposals” that could lead to “some good deals.”
Trump suggested negotiations were ongoing in a post on Truth Social in which he said he “had a great call with the acting president of South Korea” and was also “dealing with many other countries, all of whom want to make a deal with the United States.”
Hours before he paused the tariffs, Trump posted to Truth Social: “BE COOL! Everything is going to work out well. The USA will be bigger and better than ever before!”
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News Peg
Trump announced that he authorized a 90 day pause on the lofty tariffs and a “substantially lowered reciprocal tariff during this period, of 10%, also effective immediately” in a post on Truth Social Wednesday afternoon, ending days of speculation around whether or not the tariffs would actually go into effect or were negotiable.
What Have Officials Said Since The Pause Was Announced?
Leavitt—who previously said it was “fake news” that Trump was considering a pause—defended Trump’s pause, saying, “Many of you in the media clearly missed the art of the deal, you clearly failed to see what President Trump is doing here.” Bessent will be leading negotiations and said they are going to “take some time” and will “be bespoke” for each country. Trump himself said he made the decision to pause the tariffs because people were getting “yippy” and “afraid.”
Key Background
Trump announced high, reciprocal tariffs last Tuesday in a press conference for what he called “Liberation Day.” The tariffs ranged from a base 10% tariff to 50% and were part of Trump’s effort to bring manufacturing back to the U.S. and discourage companies from importing goods. After the announcement, global stock markets plummeted, though, and the U.S. stock markets hit their lowest levels since 2020. After Trump’s tariff announcement, economists warned the policy could lead to higher consumer prices and increased the likelihood of a recession. Trump himself acknowledged the policy could come with short-term struggles and told Americans on social media to “hang tough,” adding: “it won’t be easy, but the end result will be historic.”
Further Reading
Trump Announces 90-Day Pause On Hefty Tariffs — Though 10% Levies Will Remain (Forbes)
Will Trump Negotiate Tariffs? 90-Day Pause Issued As These Countries Ask To Bargain (Forbes)
