President Trump unexpectedly announced a pause on retaliatory tariffs on all countries except China, catching lawmakers off guard and leading to a significant rise in stock markets. This decision was made abruptly, with key officials, including the trade representative, seemingly unaware of the plan until it was publicly announced on Truth Social.
Lawmakers reacted with surprise and, in some cases, relief. While some, like Congressman Rich McCormick, expressed concern about the initial tariffs' impact on their constituents' businesses, others praised the administration's approach to negotiations.
President Trump attributed his decision to market concerns, stating that investor anxieties regarding his policies drove trillions of dollars in losses. He mentioned that the tariff pause, lasting 90 days, applies to countries that didn't retaliate against his previous tariffs.
Treasury Secretary Bessent offered little explanation for the president's decision-making process, simply stating that Trump created maximum negotiating leverage. The trade representative, appearing before Congress, lacked details about the tariff reduction, highlighting the lack of communication surrounding the decision.